A Senate Committee has scrutinized the Bungoma County government for managing 352 commercial bank accounts, which raises concerns about potential fund misappropriation. The Senate Devolution and Intergovernmental Relations Committee discovered that a county employee, Caren Naliaka, who also operates under the name ‘Makona,’ is a signatory to more than 70 of these accounts.
The committee, chaired by Wajir lawmaker Sheikh Abbas, requested an explanation from Bungoma Governor Ken Lusaka regarding the large number of bank accounts his administration operates.
In response, Lusaka explained that the county government manages various types of accounts, including ten established public funds accounts, nine special purpose accounts, one project management account, nine sub-county imprest accounts, two Mabanga operation accounts, 19 Level 4 and 5 hospital accounts, four own-source revenue collection accounts, 152 vocational training centre accounts, and 146 health facility and dispensary accounts.
Lusaka noted that 146 of these bank accounts were already in operation prior to the implementation of the Public Finance Management (County Government) Regulations 2015.
In his defense, Lusaka informed the committee that, to facilitate a smooth transition and prevent disruptions in service delivery, his County Executive Committee Member in Charge of Finance and Economic Planning issued guidelines to the Fund Administrators and the Chief Officer for Health and Sanitation regarding the reduction of accounts.
He clarified that the establishment of these accounts was done with the approval of both the Controller of Budget and the Central Bank of Kenya.
“I am confirming that we have the 352 bank accounts. But most of the accounts belong to Vocational Training Centres (VTCs) and health facilities and dispensaries in the county,” Lusaka stated during his appearance before the committee.
While giving the breakdown of the bank accounts, Lusaka revealed that VTCs in the county have 152 accounts, while health facilities have 146.
“Our health facilities receive funds directly from donors, which require them to maintain individual separate accounts. These accounts are fully audited and included in our quarterly financial statements,” Lusaka explained.
He went on: “We have made progress and we are committee to ensure that regulation 82 (1) (b) of the Public Finance Management (County Government) Regulations 2015 is complied and shall continuously appraise the office of the Controller of Budget (COB).”
Bank signatory
Finance and Economic Planning CEC Chrispinus Barasa was at pains to explain how Caren Makona also known as Naliaka is a signatory to more than 70 bank accounts ranging from Vocation Training Centres to Health facilities including Dispensaries.
“The report that you have submitted shows four persons of interest who appears to be signatories to many bank accounts. There is Caren Naliaka who sometimes calls herself Caren Makona, Frida Wasilwa and sometimes calls herself Wabwire, Godfrey Juma and Caroline Nanjala. Who is Caren and why is she a signatory to more than 70 accounts?” posed nominated Senator George Mbugua.
Mohammed Chute (Marsabit) on his part questioned the Bungoma County officials if they followed the law in opening some collection accounts.
“Most of the accounts date back to 2010 before the onset of devolution and have the same signatories’ up to date. Did you follow the law in opening the accounts?” posed Chute.
