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Kenya’s Universities Academic Staff Union (UASU) has threatened to go to court if the ministry of education does not take immediate action against the higher learning institutions in the country that are reported to be deducting from their employees’ salaries illegally without remitting deductions to the relevant institutions. Last month the ministry of education released an audit report showing that some public universities in the country were deducting billions of shillings from their employees' salaries and not regularly remitting the money to relevant agencies. The amount the institutions have been deducting illegally from the employees’ salaries is alleged to total approximately US$100 million.

Kenya’s universities have been ordered to publish regular financial performance reports as part of sweeping regulations which take effect this year, aimed at lifting the veil of secrecy that has shrouded institutions’ financial status and effectively put millions of dollars at risk. Currently, the publication of financial performance for public universities takes as many as four years, a situation that has seen most institutions drift into financial problems. In addition, none of the private universities in the country has ever made public their financials despite their handling millions of dollars in student funds annually.

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.

Most schools in the country cannot account for books bought since introduction of free education in 2003, a confidential report by the Ethics and Anti-Corruption Commission (EACC) has revealed. The report has poked holes in the storage of textbooks in public schools noting that it is hard to establish the number of books purchased by most schools. It notes that despite the government releasing funds to schools to construct book storage facilities, most schools have not done so. According to the report, some schools bought one wooden cupboard which is maintained in the offices of head teachers or their deputies.

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.

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.