NAIROBI, Kenya Feb 21 – Private universities are under scrutiny following a special audit report spanning seven years, revealing irregular disbursements amounting to Sh883 million.
According to the Auditor General’s report, private universities audited between the financial years 2016/2017 and 2022/2023 are urged to refund Sh 219 million out of the flagged amount.
The breakdown indicates that Sh201 million was disbursed to 4,521 students who were not bona fide government-sponsored students in private universities.
“The private universities should refund Sh 201,671,080 spent on students funded under GSS not placed by KUCCPS,” recommended Gathungu.
All government-sponsored students are placed in learning institutions by the Kenya Universities and Colleges Central Placement Service (KUCCPS). The revelation raises legitimate questions about the funding of the 4,521 students.
“The audit highlighted various irregularities and weaknesses in the management of capitation funds disbursed to private universities that could result in the loss of public funds,” the report stated.
The special audit report was presented before the National Assembly’s Public Investment Committee on Governance and Education.
Among the recommendations, Daystar University is required to repay Sh57 million, Africa Nazarene University Sh47 million, and KCA Sh38,662,479.
Other universities like Umma, St. Paul’s, Lukenya, Great Lakes University, and Kemu are also expected to make significant refunds, as recommended by the Auditor General.
In addition, irregularities in disbursements amounting to Sh 413 million were flagged, with findings indicating that 9,489 students were enrolled in universities for periods exceeding the durations of academic programs.
Out of the total flagged amount, Sh53.5 million was granted to 1,116 students who had either deferred or were on long academic leave, with funds released during their absence.
The Auditor General called for government intervention in formulating policies to guide the implementation of capitation funds for government-sponsored students in private universities.
A close watch is also placed on 14 universities that received irregular disbursements totalling Sh35.2 million on account of 788 students who had already graduated.
The Jackson Wamboka-led committee will delve into the report next week to seek clarifications from relevant agencies in the Ministry of Education.
Education Cabinet Secretary Ezekiel Machogu, Higher Education Principal Secretary Beatrice Inyangala, and KUCCPS CEO Agnes Wahome are expected to shed light on the irregularities highlighted in the special audit report.
