Four senior staff of the ICT Authority are suspected to have defrauded the organisation up to Sh160 million within six months, an internal audit report shows.
The DCI is expected to open investigations.
An internal audit revealed massive fraud and theft, with four members of staff suspected of involvement.
The audit by internal auditor Patrick Machimbo covered January 1 to July 19 this year. It shows that Sh78 million was withdrawn in cash over the period, Sh20.8 million was directly transferred into the accounts of four staff and Sh61.3 million was paid into an account at Equity Bank.
The four staff into whose accounts the money was transferred are the director corporate services Felix Ongaga (Sh4.4 million), the head of finance Daniel Ouma (Sh5.4 million), accountant Peter Mwangi (Sh5.4 million) and cashier Anthony Mwangi (Sh5.4 million).
“Some Sh61.3 million was paid to account number 0820298594935, Equity Bank, under 21 different account names between February 9 and July 6, 2017. The 21 names using the same account number are the names of existing sacco societies, but the account number does not belong to the saccos. Collusion from the bank is needed for money to be wired to the same account number under different names,” the report indicates.
The auditor recommends the scope of audit be expanded to cover the financial year 2015-16.
The report, dated August 1, 2017, concludes there was a well-planned scheme, where funds were sent to individuals bank accounts and documents used to falsify the payments.
All the cash withdrawals were just under Sh500,000. Any amount of Sh500,000 or above would have required approval from the CEO. “The total withdrawals in any of the days was over half a million shillings. This indicated splitting of cash withdrawals to avoid the CEO’s approval,” the report said.