Thursday, October 02, 2008

The secret of corruption: bad accounting

Reading this summary of the audit of the GoK accounts, I am shocked by the sheer incompetence in the way our accounts are done. The one figure that sticks out is the Ksh200m in unacounted for staff expenses. Wierdly, it seems that if I turn up and say I spent Ksh50k on a field trip in Ngong, the cash just gets sent to my account. Other highlights:

Revenue collected by KRA doesn't tally with what is recorded as having been received at the Treasury.
A lot of the spend from the districts is only noted at the bottom of the accounts with no back up receipts or invoices.
The accounts as recorded don't agree to bank statements for most of the ministries.

And on it goes...

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