Melo Media | Thursday, 14th December 2023
The Auditor General’s findings regarding the Constituency Development Fund (CDF) for the fiscal year ending on December 31, 2022, have exposed instances of mishandling and improper use of empowerment grants.
According to the report, it has been found that grants amounting to over K7 million were distributed to 353 clubs and cooperatives during the review period. These grants were intended to support the implementation of their designated activities and projects as outlined in their grant agreements. However, it has been discovered that these groups and cooperatives deviated from the agreed-upon projects without obtaining approval from the council, thereby violating the terms of the grant agreement.
The report has brought to light various anomalies, such as undisclosed empowerment grant funds, inadequate expenditure, lack of oversight in the execution of empowerment grants and scholarships, and the absence of payment vouchers.
In the latest report by the Auditor General, concerning the examination of local authorities’ financial accounts for the period ending on December 31, 2022, several discrepancies have come to light. These include the absence of payment vouchers, unsupported payments, inadequate revenue collection, failure to retrieve salary advances, and improper utilization of accountable imprest.
Other anomalies comprise of unaddressed accountable imprest, inability to gather revenue from billboards, non-payment of statutory and other responsibilities, non-payment of staff obligations, and untracked inventory.
During the period under review, the report has uncovered that 22 councils misapplied funds amounting to over K11 million. These funds were originally intended for capital projects but were instead used for operational expenses.
Additionally, the report discloses that within the specified timeframe, 23 councils received a cumulative sum exceeding K240 million as equalization funds. Out of this amount, over K45 million, which accounts for 20% of the funded sum, was designated for transfer to the capital account.
