On January 17, 2018, the Privatisation Commission held a conference in Kisumu, where it irregularly paid some Members of Parliament (MPs) Sh5.02 million in allowances, according to the latest report of the Auditor-General.
The audit report for the year ending June 30, 2018 found that the payment violated a 2015 presidential executive order requiring daily subsistence and other allowances for MPs to be fully catered for by Parliament, their employer.
Although the commission claimed to have consulted with the Clerk of the National Assembly, the payment to MPs was in breach of the circular, said Auditor-General Edward Ouko in the report currently before the Public Accounts (PAC) committee.
The committee, chaired by Ugunja MP Opiyo Wandayi, is expected to interrogate the report and file its recommendations to the House for adoption.
As a result, the Privatisation Commission's CEO may face a surcharge for violating the directive as well as the Public Finance Management (PFM) Act by irregularly committing public funds for a function not provided for in the agency's budget.
Additionally, Auditor-General Ouko faulted the members of the Commission on Revenue Allocation (CRA) for irregularly overpaying themselves and commission employees Sh1.39 million in airtime allowances.
