Auditor General Flags Ksh2M Procurement Irregularities in Education Ministry’s iPad and MacBook Purchases
Auditor General Nancy Gathungu has raised alarm over irregular procurement practices at the State Department for Higher Education, citing inflated costs in the purchase of MacBooks and iPads amounting to over Ksh2 million. The purchases, which exceeded market rates by more than 200 percent, violated public finance and procurement regulations.
In her latest audit report, Gathungu disclosed that the State Department acquired six MacBooks at a cost of Ksh2,995,920 and two iPads for Ksh920,000. This translates to Ksh499,320 per MacBook and Ksh460,000 per iPad. According to the Auditor General, these prices sharply contrasted with the prevailing market values of Ksh180,000 per MacBook and Ksh360,000 per iPad, totaling an expected cost of Ksh1.8 million. The discrepancy resulted in an overpricing of Ksh2,115,920.
The audit report noted that these expenditures were not backed by a valid or updated procurement plan, directly contravening Regulation 51(2) of the Public Finance Management (National Government) Regulations, 2015. The regulation stipulates that all expenditure commitments must be aligned with approved procurement and spending plans prepared by the designated Accounting Officer and must fall within the approved national budget.
“In the circumstances, value for money on the procurements amounting to Ksh2,995,920 and Ksh920,000 in respect of six (6) MacBook laptops and two (2) computer IPAD 4 respectively could not be confirmed,” Gathungu stated in her findings.
She further highlighted that the irregular procurement of the IT devices was part of a broader pattern of financial mismanagement within the department, particularly in the acquisition of non-financial assets totaling Ksh4,014,220.
The report also uncovered non-compliance with procurement regulations concerning the acquisition of specialized materials and services worth Ksh4,725,467. Of this amount, Ksh2,465,100 was spent on air ticket purchases. Gathungu noted that procurement records showed evaluations were only conducted for two firms, in breach of Section 106(2)(d) of the Public Procurement and Asset Disposal Act, 2015, which mandates evaluation of at least three quotations.
Moreover, the State Department failed to present essential procurement documents for audit review, including the request for quotation register, tender opening minutes, and evaluation minutes. The absence of these records further obscured the transparency of the procurement process.
In the area of vehicle maintenance, the Auditor General reported that service providers were single-sourced without meeting the required conditions for direct procurement as outlined in Section 103(2) of the Public Procurement and Asset Disposal Act, 2015. This section limits direct procurement to specific circumstances such as emergencies or when only one supplier is available—conditions that were not met in this case.
The audit findings point to systemic procurement irregularities within the State Department for Higher Education, with serious implications for public accountability and financial governance. The reported overpricing and procedural breaches not only raise concerns about value for taxpayer money but also highlight weaknesses in oversight and compliance with procurement laws.
The Auditor General’s report is expected to prompt further investigations and potential disciplinary measures by the relevant authorities, including the Public Procurement Regulatory Authority (PPRA) and Parliament’s Public Accounts Committee. As scrutiny intensifies, stakeholders are calling for enhanced accountability mechanisms to curb misuse of public funds and ensure adherence to procurement laws in all state departments.
MOE
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Auditor General Flags Ksh2M Procurement Irregularities in Education Ministry’s iPad and MacBook Purchases