How Prisons Department Lost Ksh1 Billion To Fictitious Supplies

Kenya Prisons Department lost at least Ksh1 billion paid to fictitious supplies or overpriced supplies, it has emerged.

Speaking before the Public Accounts Committee (PAC), Ms Zeinab Hussein, the Correctional Services Principal Secretary, said that the money was part of pending bills as at the end of June 2018.

“These are payments that date from June 2018 and backward to 2009. There might have been instances of overpayment or payment to individuals who did not supply anything,” Ms Hussein said.

Ksh555.7 million was paid out despite payment vouchers having various irregularities, including failure to supply goods.

The department also lost at least Ksh419 million as overpayments to suppliers who had supplied goods and services to the department.

The department also paid suppliers at the headquarters, who were neither known to the stations nor contracted for any supply of goods and services, according to an audit report by auditor general Nancy Gathungu.

According to the audit report, seven prison stations book did not reflect orders or deliveries of the same while prison stations counter receipt book register (CRBR) did not have a series of those counter receipt vouchers used.

The Opiyo Wandayi committee has now demanded a list of the suppliers who were paid the amounts.

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