15 March 2014

Kenya: Nairobi County Told to Account for Sh470 Million

The Auditor General has said the Nairobi county government should fully account for Sh470 million it received last year from the National Treasury.

In an audit report presented to the Senate committee on Finance, Auditor General Edward Ouko said the cash, which was allocated for the period March to June 2013 was meant to set up the county government.

The cash was also meant to ensure the services delivered at the county level are not disrupted. The county received Sh489 million from the exchequer and a further Sh61 million from the Transitional Authority.

The audit found that as at September 2013, Sh470 million had been spent but payment vouchers were not properly approved or adequately supported.

"The expenditures were mainly on imprests issued to staff to facilitate induction workshops, salaries and allowances for the Executive and County Assembly members and payment of pending bills," the auditor has said. He has added that the County Executive and the Clerk County Assembly should ensure full accountability of the Sh470 million expenditure.

The audit also revealed that the county has been under banking the revenue collected. The report shows that during the period January 1 2013 to June 30, the county collected Sh5.5 billion while only Sh5.2 billion was banked. Sh252 million was not banked. Part of the unbanked cash was used in paying various miscellaneous activities including purchasing consumables.

The auditor has said county officers as at June 30, had not accounted for Sh235 million paid to them as imprests. Some of the officials received additional imprests without accounting for previous allocations.

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