The Public Investments Committee on Governance and Education has directed the Auditor General to conduct a special audit on the operation and management of JKUAT Enterprise Ltd.

Jack Wanani Wamboka (Bumula), the Committee’s Chairperson, gave the directive after the entity, which had appeared before it on Monday, September 22, 2025, failed to provide documentation to show the list of their Board Members in order to answer an audit query on the unsupported Board expenses during the Financial Year 2022/23.

According to the Auditor’s reports, during the FY, some Board Members were paid sitting allowances on various sittings within the year but there was no record of appended signatures in the respective meetings attendance register.

The report also noted that Board expenses records revealed a member not included in the list of Board Members who was included in payment of Board allowances, and similarly, his appointment records were not provided.

“In addition, the appointment details of the representative from the National Treasury was dated November 24 2017 with no indication of the ending period. Motor vehicle records and physical addresses of the members paid mileage allowances were also not provided for audit,” part of the Audit report on the Enterprise stated.

CEO’s Response to the Committee

While responding to the query, Erastus Mvuria, the Enterprise CEO told the Committee that the criteria for the appointment of Board members is outlined in their Memorandum and Articles of Association, which designate specific position holders within the University as directors including Council Chair, Vice Chancellor and all Deputy Vice Chancellors along with representatives from the National Treasury and the Ministry of Education.

“Some of the directors participated in the meeting remotely and as result, did not physically sign the attendance register. Nevertheless, their presence was recorded through the online system,” the CEO said.

Committee Chairperson’s Remarks

Reacting to the presentation by the CEO, Wamboka asked him to furnish the Committee with the list of the Board members noting that from the Auditor’s report of the period under review, the Enterprise only had five Board Members out of the required eleven.

“You do not have 7 Members out of the required 11 and you have indicated that your quorum is 6 so how are you running the organizations? This explains the audit query and why you do not want to provide the list of your Board Members and therefore you are running a fraudulent organization,” Wamboka said.

Previous Year’s Audit Concerns

For the Financial Year 2021/22 on the same Organization, the Auditor’s report indicated that there was inaccurate Cash and Bank Balances and payment for works not done – Inpo Factory Roof Project noting that a physical inspection of the factory carried out on August 23 2022 revealed that whereas the entire project cost had been paid, the change of the roof support from a wooden one to a metallic one had not been done and thus it was not clear the circumstances under which the entire project cost was paid with no work done.

JKUAT Enterprise
Photo/File/FB