Senate Committee on Finance engages UFAA over alleged financial improprieties

Senate Committee on Finance engages UFAA over alleged financial improprieties

𝐏𝐚𝐫𝐥𝐢𝐚𝐦𝐞𝐧𝐭 𝐁𝐮𝐢𝐥𝐝𝐢𝐧𝐠𝐬
𝐓𝐡𝐮𝐫𝐬𝐝𝐚𝐲, 𝟐𝟏 𝐍𝐨𝐯𝐞𝐦𝐛𝐞𝐫 𝟐𝟎𝟐𝟒

Senate Committee on Finance and Budget held a session with the Unclaimed Financial Assets Authority (UFAA) to address concerns raised by Senator Gloria Orwoba. The meeting, chaired by Senator Ali Roba (Mandera) interrogated submissions from UFAA officials led by Board Chairman Dr. CPA Francis Kigo Njenga and Acting CEO Caroline Chirchir.

Chirchir informed the Committee that the Authority had received Ksh.36 billion in unclaimed financial assets over the last five years deposited in the Unclaimed Assets Trust Fund Account at the Central Bank of Kenya.

On the matter of Ksh. 10 billion in unaccounted-for funds, Chirchir explained that UFAA has conducted five phases of compliance audits since FY 2017/18. She emphasized that these audits were conducted by different auditors selected through open national tenders in compliance with the Public Procurement and Asset Disposal Act.

“The audits have been undertaken using different auditors for each respective phase of audit. All these auditors in all phases have been procured through open national tenders in line with Public Procurement and Assets Disposal Act,” submitted Chirchir.

Despite this, Senators expressed scepticism accusing UFAA of possible collusion with institutions to manipulate figures. “There seems to be collaboration between UFAA officers and certain institutions to alter figures,” Sen Orwoba argued, adding that the data appeared inconsistent and manipulated.

Sen Ali Roba questioned the Authority’s spending, particularly the justification of spending Ksh.3.4 million on auditing an unclaimed asset worth Ksh.5.8 million. The Board Chairman, Dr. Kigo, denied any manipulation insisting that all figures were accurate and compliant with legal requirements.

“Can the Authority justify spending Ksh.3.4 million on audit service following up on an unclaimed asset worth Ksh.5.8 million?” posed Chairman Sen Ali Roba.

Unconvinced, the committee expressed dissatisfaction with UFAA's responses and resolved to schedule further engagements to address lingering concerns.