NAIROBI, Kenya, Oct 29 – Over 900 Non-Governmental Organisations risk being de-registered if they fail to present audited accounts to the NGO Coordination Board in the next 14 days.
The board indicates that a forensic audit has revealed that out of Sh140 billion from donors, Sh25.7 billion cannot be accounted for.
NGO Coordination Board Executive Director Fazul Mahamed says the amount unaccounted for is suspected to have been used in financing terrorism, money laundering, misappropriation or outright embezzlement.
“A total of 957 NGOs have failed, refused, neglected or declined to account for the funds they received despite the numerous reminders issued to them by the board,” he protested.
Addressing journalists on Thursday, he added that the board has already de-registered some NGOs and forwarded the list to the Central Bank of Kenya and the Kenya Bankers Association to freeze their accounts.
The Kenya Human Rights Commission – chaired by staunch Jubilee critic Makau Mutua – has for instance been accused of operating four illegal bank accounts and filing false reports with the board as well as glaring discrepancies in its annual returns and audited accounts with an income of Sh1.2 billion.
The commission’s newly appointed Executive Director George Kegoro told Capital FM News; “I’m not aware of the report. We have just read in the media.”
He said they are awaiting official communication from the NGO Coordination board.
“The board further puts on notice NGOs that have formed a habit of obtaining through false pretences, goods and services from members of the public that they are known and have all been placed under investigations by the NGOs Board and other relevant law enforcement agencies,” Mahamad warned.
“The board has noted with a lot of concern, a very worrying trend that NGOs in conjunction with certain banks open, operate and close bank accounts without the requisite approval of the NGOs Co-ordination Board.”
Mahamed has further warned some NGOs, which he says have formed a habit of obtaining through false pretences, goods and services from members of the public.
Some of 957 NGOs facing deregistration include The Kalonzo Musyoka Foundation, Anti-drug International Organisation, Awareness and Support Organisation, Bahati Centre, Eco-Hub Organisation among others.