Trans Nzoia Governor George Natembeya has come under scrutiny over alleged financial irregularities at one of the major hospitals in his county.
The Kitale Referral Hospital was in the spotlight of the Senate County Public Investment and Special Funds Committee, which probed into severe financial irregularities, including the mysterious withdrawal of Ksh9.4 million.
A report by the Auditor General on the hospital's financial statements for the 2023/2024 fiscal year raised concerns, begging the question of how money was being utilized in the institution.
The audit report noted that missing records from the 2021/22 and 2022/23 financial years made it almost impossible to form an opinion on the financial situation of the hospital.
But perhaps the most notable revelation was the withdrawal of Ksh9.4 million from the Kitale Referral Hospital's revenue account, with the funds allegedly used to fund Nzoia’s participation in the 2023 Devolution Conference. The hospital's board, according to the report, never approved the withdrawal.
Committee Chair Senator Godfrey Osotsi (Vihiga) on Wednesday, April 2, openly called out Governor Natembeya, labelling the county boss's administration as incompetent while emphasising that public funds should always be properly accounted for.
While admitting to the unauthorised withdrawal, the governor said it was a "necessary borrowing" move since there was no dedicated budget for a Devolution Conference.
On his part, Trans Nzoia Senator Allan Chesang criticised the governor, as he questioned the absence of key financial records that are fundamental in determining how funds are spent in public institutions.
“What exactly is the work of your finance department if such vital records are missing? This is beyond negligence; it is a serious governance failure,” he remarked.
In the auditor general's report, several financial anomalies were unmasked, including the lack of a general ledger and trial balance, which is essential for accurate accounting, discrepancies in cash balances, and poorly maintained cashbooks.
The report also highlighted undisclosed inventory - a discovery that raised concerns about the potential theft and loss of hospital supplies.
On the withdrawal of Ksh9.4 million from the hospital's coffers, Elgeyo Marakwet Senator William Kisang called for the Ethics and Anti-Corruption Commission (EACC) to intervene and conduct a special audit.
The Committee has since issued a directive instructing Natembeya’s administration to submit all missing financial records within seven days. This includes certified bank statements and a detailed explanation of the anomalies.
