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A recent report from Public Accounts Committee reveals the theft of billions of taxpayers' money pocketed by corrupt officials and school heads. The Mundeku Secondary School is one of the 4 ghost schools in the Ministry records with 1,188 students used by an official to steal Sh27,329,598.95 from public funds. The report found another officer inflating enrolment data for 185 schools, resulting in the overpayment of Sh269, 254,288. The cases have been submitted to the Ethics and Anti-Corruption Commission for investigation.

Mbarara High School headteacher and his bursar are charged with three counts of embezzlement, causing financial loss and abuse of office. The two appeared before the Anti-Corruption court in Kampala and were accused of failing to account for Shs 207 million school money.

Two people are in hot water after allegedly defrauding the Mpumalanga Department of Education of an estimated R6-million. The two appeared in the Nelspruit Regional Court on Thursday over their alleged involvement in a bogus school-feeding scheme. The Hawks said that in 2011 the accused allegedly submitted several fraudulent invoices to the Department of Education for services never rendered. An employee of the Department of Health allegedly recruited owners of various companies to submit these invoices. The money was allegedly deposited into the said businesses accounts, as well as individual accounts and was subsequently withdrawn and shared amongst the syndicate.

The Rukwa Region has identified 2,408 students from public primary and secondary schools as ghost students following the recent verifications. The Rukwa Region Commissioner (RC), briefed the Prime Minister from the regional development reports in Namanyere Town , Nkasi District. The premier was further told that Rukwa Region continued to put into action the directives of the President by undertaking thorough verification of phantom students in all public primary and secondary schools in the region.

The Ethics and Anti-Corruption Commission (EACC) launched a report on the Free Primary Education (FPE) programme, after the Ministry of Education revealed that most schools cannot account for the funds. According to the EACC Chief Executive Officer, the report will help in ensuring accountability in public schools, given that heads of schools will be required to detail how every shilling allocated by the government is spent.

The Government has set up a new audit body to crack down on corruption in schools. The body to be known as Directorate of School Audit (DSA) will be tasked with scrutinising the use of the billions of shillings sent to schools. According to the Education Principal Secretary, DSA will examine books of accounts to identify the expenditure leakages and report back to the ministry. School heads found to have presided over theft or misuse of the money will be forced to bear the responsibility.

Education Cabinet Secretary has described the auditing system used in Kenyan schools as a “big joke” and a great let-down and accused auditors of colluding with headteachers to give favourable reports even when money has been lost. He also decried the inappropriate use of free learning cash and the distribution of government-purchased books in schools and described the system of assessing the performance of teachers as still substandard.

Rorya District Executive Director (DED), has underscored the need for various schools in the country to acquire some skills on the recently introduced Procurement ACT to enable them follow thoroughly the procurement procedures and avert public funds embezzlement. The call was echoed by the DED in a full council meeting whereby the session was informed that over 100m/- allocated to Buturi Secondary School had been embezzled and so far no arrest had been made.

The Education ministry is investigating a number of schools for allegedly inflating enrolment figures in a bid to unduly benefit from free learning cash. The Cabinet Secretary warned that appropriate action would be taken against individuals involved in the scandal, saying such a practice is a criminal offence punishable by law. The Auditor-General’s report on the Ministry of Education’s financial statements for the 2013/2014 financial year says the government had lost millions of shillings of capitation funds in public schools through inflated enrolment figures.

The President has ordered an audit of how public primary and secondary schools have spent the billions in free learning cash released to them across three years. Free Primary Education funds were first rolled out in 2003, with each child getting Sh1,020 per year. In 2014, the Jubilee government increased FPE to Sh1,420 to cater for an estimated enrolment of about 10 million children in about 23,000 public primary schools. Annually this costs Sh14 billion.