The Cabinet has directed the Directorate of Criminal Investigations (DCI) to investigate a suspected KSh6.2 billion government payroll fraud following a damning audit that uncovered widespread irregularities across the public service payroll.
The directive follows a comprehensive payroll audit conducted by the Ministry of Public Service, Human Capital Development and Special Programmes under Cabinet Secretary Geoffrey Ruku.
The audit exposed systemic manipulation of payroll systems that is believed to have significantly inflated the government’s wage bill.
Among the irregularities uncovered were the existence of ghost workers, unlawful salary increments, multiple salary payments to individual officers, irregular promotions, fraudulent tax exemptions and unauthorised alterations of employee records.
Acting on the audit findings, the Cabinet ordered the DCI to immediately commence investigations aimed at identifying and prosecuting all individuals involved in the alleged fraud.
The probe will target both serving and former public officers suspected of participating in or facilitating the fraudulent schemes.
The Cabinet also directed the Ministry of Public Service to continue implementing payroll reforms and strengthen human resource management systems to seal loopholes that have enabled the misuse of public funds.
On several occasions CS Ruku has reaffirmed the ministry’s commitment to restoring integrity, accountability and transparency in the public service, warning that any officers found culpable would face both disciplinary and criminal sanctions.