MPS APPROVE INDEPENDENT AUDIT OF AUDITOR GENERAL’S OFFICE SPENDING
The Auditor General’s office will face more scrutiny after the National Assembly voted to appoint an independent audit by PKF Kenya LLP, meant to take a second look at the expenditures of the office during the financial years 2022/2023, 2023/2024, and 2024/2025, as well as the financial statements related to the Staff Mortgage and Car Loan Scheme.
It is for this reason that this independent audit was recommended by the Public Accounts Committee, realizing the important role of the Office of the Auditor General in as far as ensuring proper usage of public funds is concerned. Committee Vice Chairperson, Hon Tindi Mwale confirmed the commitment of the Committee towards the enhancement of auditing capabilities in the office.
“The Public Accounts Committee has been at the forefront advocating for increased funding for the Office of the Auditor General,” Mwale said. “Our goal is to ensure the office is enabled with all necessary resources to perform its essential functions.”
He noted the importance of the external audit in ensuring transparency and accountability in the management of public resources. “The external audit will also help in ensuring that public funds are managed properly and there is accountability in every aspect of financial management,” he added.
The issue also drew in the reaction of Funyula MP Wilberforce Oundo, who pointed out that the volumes are huge, and some of the work is outsourced for efficiency.
“The Auditor-General is tasked with auditing the whole government and, given that scope, some work must be outsourced to maintain efficiency.” He added, “What will be important is ensuring the firm selected is one of high professional standards and following the international norms in auditing.”.
The Members of Parliament have emphasized that the appointment of PKF Kenya LLP is fully in line with Article 226(4) of the Constitution and Section 43 of the Public Audit Act. They expressed confidence in the procurement process and the firm’s capacity to execute the mandate for international auditing standards.
Auditor-General Nancy Gathungu had earlier sounded an alarm over the underfunding of her office by the Treasury.
“The reduction in allocations greatly hindered the office from performing its mandate as stipulated in the Constitution,” Gathungu lamented. She said the office had a shortfall of Sh1.79 billion in the 2022/23 financial year, where it was allocated Sh7.753 billion yet it asked for Sh11.39 billion.
“This deficit has resulted in a Sh3.64 billion deficit for recurrent funds and Sh3.06 billion in development funds,” said Gathungu. “We are asking for Sh2.5 billion to arrest some of the deficits that have been so critical.” She added further that these funding shortfalls have affected their work and have not been able to confirm the legality and efficiency of use of public funds according to the dictates of the Constitution.
