Moi University Under Fire: Ksh.29.8M Gate, Fraud Allegations, and Questionable Ksh.3B Loan Exposed
Moi University’s administration is facing intense scrutiny after an audit revealed the institution spent Ksh.29.8 million on constructing its main gate.
Vice Chancellor Prof. Isaac Kosgey appeared before the National Assembly’s Public Investments Committee on Education on Wednesday, September 18, where he was questioned about the gate’s costs.
Kosgey disclosed that the original budget for the gate was Ksh.4.8 million, but the plan was scrapped due to the gate’s location on a road reserve.
Committee members, led by Bumula MP Jack Wamboka, expressed disbelief over the Ksh.25 million tendered for the new gate. They also questioned why the university paid the full contract amount despite the project being incomplete.
“How do you spend Ksh.24 million on a gate while the institution is insolvent? Is this a multi-story gate?” Wamboka asked.
In December 2023, Moi University faced heavy backlash on social media after holding a ceremony to unveil the controversial gate.
The university shared photos of the handover ceremony, showing staff present as the contractor officially delivered the gate.
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During the hearing, the committee also uncovered a case of fraudulent diversion of millions in student fees to a private bank account by university employees.
“An audit revealed that credit entries worth Ksh.25 million and debit entries totaling Ksh.17.56 million were reversed. These fraudulent actions were carried out by a staff member with system access who was responsible for crediting student fee payments,” the committee noted.
Although the staff member was suspended in April 2018, the audit conducted in October 2019 showed no conclusive action had been taken to resolve the issue.
Prof. Kosgey acknowledged the fraud, confirming that it was perpetrated without the administration’s knowledge and that the involved staff were disciplined, with one reinstated after an appeal.
Further revelations during the session exposed that Moi University had taken out a Ksh.3 billion loan to purchase a textile company, a decision heavily criticized by the committee. The investment was deemed unwise, as only 600 of the 30,000 students were enrolled in textile courses, and the company itself was reportedly incurring substantial losses.
Moi University Under Fire: Ksh.29.8M Gate, Fraud Allegations, and Questionable Ksh.3B Loan Exposed
