House team orders forensic audit into Moi University's finances

A parliamentary team has directed Auditor General Nancy Gathungu to conduct a forensic Audit on the financial status of Moi University.

The National Assembly Public Investments Committee on Education called on the office of the Auditor General to look into the financial dealings of the bedevilled Moi University for the last five years and table findings within 60 days. 

This was after the Jack ="https://www.standardmedia.co.ke/education/article/2001501712/moi-university-dons-paralyse-activities-over-pay-arrears">Wamboka-led committee< established that the University, which has since been shut down indeterminately, had failed to remit Sh4 billion in payroll deductions, and failed to clear pending bills amounting to Sh1.1 billion accrued as of June 2020.
This matter arose during a sitting by the committee which is considering the Auditor General’s report on Moi University’s financial statements for 2019/2020. 

 “I direct that the Auditor General conducts a holistic forensic audit on Moi University covering the last five financial years and table its findings in 60 days,” ruled Wamboka. 

 “In the intervening period, the committee freezes all new projects by Moi University and that the University shall not recruit any new persons,” he added. 

 The chairperson further directed the Public Service Commission (PSC) to take over work being undertaken by consultancy firm PKF Consulting LLP, which is reportedly seeking to reduce the University’s bloated workforce numbering 4,000

Education Cabinet Secretary Migos Ogamba who ="https://www.standardmedia.co.ke/education/article/2001427440/moi-university-closed-indefinitely-following-staff-strike">was also present during< the sitting, endorsed the committee’s decision to order a forensic audit stating that the institution’s woes ran deep. He also highlighted similar challenges faced by other universities. 

The CS also revealed that Moi University had accrued Sh8 billion in certified pending bills and that the special audit would help inform the government on improving the institution’s operations. 

 “There is a problem but we need a stop-gap measure to ensure that the students go back to class even as we deal with the issue of forensic audit,” he observed. 

 Moi University Council chairperson Humphrey Kimani said the university ="https://www.standardmedia.co.ke/rift-valley/article/2001501884/moi-university-bank-accounts-attached-over-sh185m-debts">had Sh4 billion in unremitted< pensions, adding that the institution had only received Sh97 million in capitation funds from the government against a monthly wage bill of Sh403 million.  “We never used to have a problem in pension remittances. But when the parallel programme was stopped, we had issues with capitation which led to non-payment of salaries and pension remittances because of our bloated wage bill,” submitted Kimani.