Baringo County is currently facing scrutiny after the Senate ordered an investigation into the existence of 304 illegal bank accounts. The parliamentary directive mandates the Baringo County Government to present comprehensive documentation detailing agreements between the county, the Controller of Budget, and the Office of the Auditor General regarding the establishment of these accounts.
On Monday, Baringo Governor Benjamin Cheboi appeared before the Senate Committee on Devolution and Intergovernmental Relations, where he was questioned about the county’s financial management practices. The committee, led by Kisii Senator Richard Onyonka, expressed significant concerns about the legality and purpose of the numerous bank accounts, particularly those purportedly set up to manage DANIDA funds.
Senator Onyonka raised questions about the rationale behind opening such a large number of accounts, suggesting that the proliferation of accounts might have facilitated illegal withdrawals of public funds. He highlighted the need for stringent oversight and accountability in the management of public resources, echoing broader concerns about financial governance in county administrations across Kenya.
Nominated Senator Catherine Mumma, the vice-chair of the committee, reinforced the importance of adherence to the Public Finance Management (PFM) Act. She stressed that all county governments must comply with established financial regulations to ensure that public funds are managed transparently and legally. Mumma emphasized that the proper use of public money is critical to maintaining public trust and supporting development initiatives.
Governor Cheboi, in his defense, asserted that the opening of the commercial accounts was in line with directives from DANIDA, aimed at facilitating easier auditing of the funds allocated for various programs. He explained that the county had received additional grants from DANIDA following the proper utilization of initial funds, and the accounts were intended to streamline financial management and reporting processes.
“We had received additional grants following the proper usage,” Cheboi said, justifying the county’s actions. He assured the committee that the county government had acted in good faith and in accordance with instructions provided by DANIDA. Cheboi’s response, however, did little to alleviate the senators’ concerns about the potential misuse of funds and the overall transparency of the county’s financial practices.
The Senate’s investigation into Baringo County’s financial dealings highlights broader issues related to fiscal management and accountability within Kenya’s devolved governance structure. The PFM Act, which governs financial management in public institutions, is designed to ensure that all public funds are used appropriately and that there is transparency in financial reporting. The act mandates stringent procedures for the opening and operation of bank accounts by county governments, aiming to prevent financial malpractices.
The directive from the Senate Committee on Devolution and Intergovernmental Relations requires Governor Cheboi to submit the requested documentation within two days, in accordance with the PFM Act. The outcome of this probe could have significant implications for the Baringo County Government, potentially leading to further investigations and possible legal action if any financial irregularities are uncovered.
This investigation serves as a critical reminder for all county governments in Kenya to adhere strictly to financial regulations and to prioritize transparency in their operations. The scrutiny faced by Baringo County underscores the importance of robust oversight mechanisms in safeguarding public funds and ensuring they are used to benefit the communities they are intended to serve.
As the Senate awaits the documentation from Governor Cheboi, the people of Baringo County and the wider public will be closely monitoring the situation, hoping for a resolution that upholds the principles of transparency and accountability in public financial management.