Ruto’s Playbill Order Raises Billions Theft Concerns – Auditor
Auditor General Nancy Gathungu has cautioned that President William Ruto’s directive to consolidate all government payments into a single payroll account increases the risk of billions being taken due to lax controls.
Ruto’s directive, which went into effect in July, mandates all state entities to funnel all of their collections, including charges, through the 222222 paybill, whereas previously each agency had its paybill collection.
This fiscal year, the Treasury expects to collect approximately Ksh350 billion in service fees and other charges, which Gathungu now warns is at risk of being embezzled due to inadequate internal controls.
“I have already raised some concerns with the treasury about internal controls. If we decide to put all our eggs in one basket, we must be sure that we have plugged all the loopholes in revenue collection,” she told MPs.
Gathungu appeared before the National Assembly Budget and Appropriations Committee, which was chaired by Ndindi Nyoro, a representative from Kiharu.
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By Ruto’s directives, all state departments eliminated their pay bill numbers, estimated to be 1,488, and adopted the new number.
Ruto clarified that the change was part of the realignment of his government’s financial management.
As State agencies struggle to sort out the new payment channel, the directive has added to the confusion, resulting in some tourists being denied access to parks because they could not pay.
Hundreds of visitors to the Nairobi National Park were dissatisfied a fortnight ago when the eCitizen platform temporarily failed, preventing payment of entry fees.
Due to the numerous transactions processed by the system, travelers were forced to wait in line for hours. The delay impacted other state agencies.
According to the Treasury, the new directive will assist the government in consolidating funds and preventing cash-rich government agencies from retaining idle cash.
Ironically, Ruto had argued that the decision to collapse the many pay bill numbers was to assist the Office of the Auditor General in conducting proper audits of government accounts.
Ruto’s Playbill Order Raises Billions Theft Concerns – Auditor