Nyamira: Junior employee paid Sh25 million house allowance in suspected payroll fraud
A junior employee was paid Sh25 million as house allowance.
Nyamira County government has uncovered a suspected graft scheme involving stealing of public funds through illegal salaries and allowances.
A whistleblower leaked a suspicious payroll in which a junior employee was paid more than Sh25 million as house allowance.
After the whistleblower raised the alarm, top county officials sent a memo to employees stating that the payment was made erroneously and that the entire amount was rescinded.
Nyamira County Human Resource Director Godfrey Kiriago informed the employee in question, who cannot be named for privacy reasons, about the cancellation of the payment.
“It has been noted that you were erroneously paid a house allowance Sh25,018,852 as indicated on your payslip instead of Sh2,700 for the month of March 2023.
“Please note that the excess salary paid to you erroneously has been deducted from your pay but your salary for March 2023 has been paid plus your accrued salary arrears and allowances totaling Sh19,052,” Mr Kiriago wrote.
Following the alleged error, there was a deliberate effort to show the public that although the overpayment was made, the error was discovered and the money recovered.
“For such huge payment to be okayed, it must go through payroll management committee. This team looks at the previous month's pay in relation to the just ended month. In case of an error, they rectify. It is rare for a case of Sh25million to pass undetected. In this particular matter, a payslip was already printed before it was leaked,” said a source who wished to remain anonymous.
This is not the first time that a suspicious payment has been at the county in an intricate graft scheme involving payroll officers and other influential individuals.
When confronted by the Nation, the spokesman for the county downplayed the issue and termed it an error within the HR department and that the officer involved is currently undergoing disciplinary action.
Dennis Onsarigo who is also the county's chief of staff said, “It was a clerical error. So you know, we haven’t even received our March salaries….and so it was an innocent error that has been corrected by the HR department.”
Mr Onsarigo added, “The matter has been brought to the attention of the governor and the same is being handled internally.”
A source from the county detailed a network of suspected criminal acts in which the HR and payroll officers working with some individuals have been depositing salaries 100 times what they employees are entitled to receive. After the money reflects in the specific employees’ accounts, they receive directives to take out what is rightfully their pay but surrender the balance to a specific account.
Sometime in 2021, there was an outcry on social media after a leaked payroll disclosed that governor Amos Nyaribo was allegedly paid Sh6.5 million.
After the public outcry, the governor issued a press statement to explain why he had been overpaid.
He said his salary was adjusted upward following the outcome of a case between the Kakamega County government and the Salaries and Remuneration Commission (SRC).
The statement also noted that while all other counties in Kenya adopted the pay rise, Nyamira did not “due to unspecified reasons”.
It added that when Mr Nyaribo assumed the role of governor in January 2021, after the death of Governor John Nyagarama in December 2020, he continued earning a deputy governor’s salary until August 2021, when it was adjusted and the difference between January and August paid in arrears.
The governor’s office responded to the matter after a copy of Mr Nyaribo’s payslip was leaked on social media showing that he had been paid Sh6,573,706 in September.
The governor took home a cool Sh4,032,211.85 after deductions.
Recently, some Early Childhood Development Education (ECDE) teachers received salaries 100 times what they are entitled.
After this matter leaked, officials said it was a “payroll error” and that the overpayments had been corrected and the money taken back into the revenue account.
