Housing PS calls for audit of State rent revenue

News

Housing PS calls for audit of State rent revenue

Housing PS Charles Hinga. FILE PHOTO | NMG 

The Housing Department has invited auditors to investigate the unusual jump in rent from government houses after a review of bank accounts amid suspicion that part of the cash was being stolen.

Charles Hinga, the Housing principal secretary, told Parliament that when the multiple accounts operated by various ministries, departments and agencies were closed and a single one opened, the rental income increased significantly.

The average monthly deposits to the single bank account jumped to Sh37.7 million in the six months to June, compared with Sh4.4 million paid in December.

“I have requested National Treasury Internal Audit unit to come and conduct a full audit. I am concerned whether we are actually losing money or it’s issue of revenue reconciliation. As I speak, I do not have enough accountants,” he said.

Documents presented before the committee indicated that in December last year only Sh4.4 million was received in rent from the government houses.

Immediately after setting up the single account the rental income increased to Sh11 million in January this year, 11.5 million (February), Sh23.2 million (March), Sh38.8 million (April), Sh67.2 million (May) and Sh74.6 million (June).

Auditor-General Edward Ouko says the State has 27,547 houses. Rent revenue deducted from staff amounted to Sh407.9 million in the year to June 2017 while revenue statements reflected a total of Sh249.6 million.

Credit: Source link