Lawmakers Question NCS Over Governance, Financial Accountability

The National Communication Secretariat (NCS) came under sharp scrutiny on Wednesday after lawmakers established that the agency has operated for more than two decades without a board of directors, a clear legal identity or adequate internal financial controls.

The concerns emerged when the Secretariat appeared before the National Assembly Public Investments Committee on Social Services, Administration and Agriculture (PICSSAA), chaired by Navakholo MP Emmanuel Wangwe, to respond to audit queries.

Led by Chief Executive Officer George Nyaory, the NCS management was questioned over several issues, including the absence of an asset register, the management of a Sh50 million staff mortgage fund and broader governance challenges.

The Committee heard that the Secretariat has operated without a governing board since it became operational in February 1999.

Nyaory explained that the Kenya Information and Communications Act of 1998, under which the Secretariat was established, did not provide for a board, a gap that has remained unresolved for over 25 years.

Committee Chairperson Emmanuel Wangwe expressed concern over the governance vacuum, saying the absence of a board meant there was no institution to oversee budgets, expenditure and policy implementation.

“You are on your own, and it is never done like that,” Wangwe said, questioning how the agency could justify spending public funds without a governing board.

Members also questioned the Secretariat’s legal status, saying it appeared unclear whether it operates as a government department or a State corporation.

Jackson Kosgei urged the agency to pursue a clear legal framework through Parliament.

“The more you get comfortable, the more danger you are posing to yourself and the rest of your team,” Kosgei said.

The Committee also scrutinised the management of Sh50 million allocated in 2022 to establish a staff mortgage scheme.

Lawmakers heard that although the funds had been received, the mortgage scheme had not been operationalised and the money had instead been held in an operational or gratuity account.

The Head of Finance told the Committee that the funds had generated about Sh3 million in interest.

However, MPs questioned whether the principal amount had remained intact.

Wangwe directed the Secretariat to provide certified bank statements showing the movement of the funds, expressing concern that the money could have been used to meet operational expenses.

The Committee also raised concerns over the welfare of employees, citing audit findings that showed the Secretariat had operated for years without approved human resource instruments.

According to the audit report, the lack of a career progression framework meant many staff members remained in the same job grades for years without promotion.

Vice Chairperson and Sabaoti MP Caleb Hamisi questioned the management on how it had maintained staff morale under such circumstances.

“Have you done any promotions? And now that you haven’t, how are you keeping staff motivated?” Hamisi asked.

Lawmakers also noted that employees had reportedly been remunerated without standardised grading structures, resulting in cases of underpayment and overpayment.

They further observed that officers employed on fixed-term contracts were technically ineligible for the mortgage scheme the agency had sought to establish.

In response, Nyaory told the Committee that new human resource instruments had been approved in 2025, allowing staff to transition to permanent and pensionable terms.

He said the reforms were expected to address the longstanding human resource challenges.

Closing the session, Wangwe criticised the Secretariat for failing to modernise despite being established under the same legal framework as other institutions that have since progressed.

“My role is to identify your shortcomings as brought out in the audit report,” Wangwe said.

He warned that the Committee could make far-reaching recommendations to the House if the agency failed to submit the required documentation to resolve the outstanding audit issues.

The Committee directed the National Communication Secretariat to resubmit its asset register, certified bank statements and other supporting documents for further scrutiny.