Auditor General's Report on A.I.C. Nyayo Girls Secondary School uncovers tender manipulation, fraud, and kickback payments involving Principal Jean Waweru

 


The most recent report from the Auditor General for the fiscal year ending June 30, 2024, exposes significant corruption at A.I.C. Nyayo Girls Secondary under Principal Jean Waweru's administration.

It details the manipulation of tenders, the accumulation of substantial pending bills, and financial mismanagement, which likely resulted in the loss of public funds. Stakeholders are now urging the EACC and the DCI to thoroughly investigate the alleged fraudulent activities and the loss of public funds, insisting that those found responsible should be held accountable for their corrupt dealings.

Supporters of the report accuse Jean Waweru of leading a tenure characterized by coercion, intimidation, and threats against those who held differing opinions.

Payments Without Electronic Tax Register Receipts

he statement of receipts and payments indicates total payments of Kshs.12,334,900. Included in this total is Kshs.706,830 paid to various suppliers, which lacked supporting Electronic Tax Register (ETR) receipts.

This situation contravenes the Value Added Tax Regulations as outlined in the VAT Act of 2013 (now repealed), which stipulates that a valid tax invoice must, at a minimum, include an electronic signature generated by an Electronic Signature Device (ESD) or an ETR receipt attached to the commercial invoice. Consequently, Management has violated the law.

lrregular Use of Cash to Procure Goods, Works and Services

The statement of receipts and payments reveals total payments amounting to Kshs.12,334,900. This total includes Kshs.706,830 disbursed to various suppliers, which did not have the necessary supporting Electronic Tax Register (ETR) receipts. Such a scenario is in violation of the Value Added Tax Regulations as specified in the VAT Act of 2013 (now repealed), which requires that a legitimate tax invoice must, at the very least, contain an electronic signature produced by an Electronic Signature Device (ESD) or an ETR receipt attached to the commercial invoice. As a result, Management has breached the law.

Long Outstanding Payables

The statement of financial assets and financial liabilities reflects payables balance of Kshs.7,785,124 as disclosed in Note 12 to the financial statements. However, included in the balance are payables balance of Kshs.3,360,'146 which had been outstanding from the previous year.

This was contrary to Section 53(8) of the Public Procurement and Asset Disposal Act, 2015 which states that 'an Accounting Officer shall not commence any procurement proceedings until satisfied that sufficient funds to meet the obligations of the resulting contract (s) are reflected in approved budget estimates'. ln the circumstances, the School Management was in breach of the law and there is risk loss of public funds through litigations, interests and penalties.

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