EACC Advises Counties To Reform Imprest System To Curb Corruption

The Ethics and Anti-Corruption Commission [EACC] has called on county governments to urgently put in place swift and radical reform measures on the imprest system to curb rampant corruption. The commission raised concern over abuse and misuse of the imprest system in counties to plunder public funds running into millions of shillings through fictitious claims by county officials. According to EACC Assistant Director of Corporate Affairs Eric Ngumbi, the commission has issued a circular to all County Governments requiring them to take urgent reform measures on how imprest is managed. Mr Ngumbi said the commission is undertaking active investigations in over 20 counties relating to embezzlement of public funds through fictitious claims, malpractices and manipulation of imprest system. He said the commission has flagged numerous malpractices used to embezzle funds including manual processing of imprest, approving unjustified imprest, use of forged documents and failing to follow due regulations and procedures. The official said corrupt county officials have exploited these loopholes to plunder public funds adding that the commission has flagged abuse of imprest as one of emerging threat to management of county finances. ‘Counties need to urgently seal loopholes in their imprest systems to improve their financial accountability and curb loss of public funds,’ said Ngumbi. The assistant director said the commission has issued a circular directing relevant county accounting officers to urgently institute proper systems and checks to streamline imprest management and surrender systems in accordance with Public Finance Management regulations. He said that County Secretaries and Clerks of Assemblies are expected to establish proper accountability mechanisms to ensure that no public official uses the imprest system to embezzle public funds. Speaking to the press in Naivasha, Ngumbi said the commission will recommend swift legal actions against county accounting officers for money lost due to manipulation of imprest that occurs in their offices. Ngumbi at same time said counties should take necessary administrative actions against public officials found to be misusing imprest as well as institute recovery of public funds lost. He said the commission has relied on reports by the Auditor General that have flagged increased cases of misuse of public funds in the counties running into millions of shillings every year.

Source: Kenya News Agency