The Auditor General, Nancy Gathungu, has exposed a serious payroll fraud in multiple counties, revealing how public money has been stolen through salary mismanagement.
The report has uncovered shocking cases of corruption, with millions of shillings paid out to non-existent employees, irregular promotions, and unauthorized salary increases, all designed to benefit a few corrupt officials at the expense of taxpayers.
In Nandi County, the audit found that KSh 15.7 million was paid to ghost workers who had no records of employment.
These payments were made without any justification, suggesting that county officials had created fake employees to divert funds into their own pockets. In addition to this, the county was found to have engaged in irregular promotions, which allowed certain individuals to receive higher salaries without following the correct procedures.
Such practices indicate a deliberate effort to misuse public resources through fraudulent means.The fraud is not limited to Nandi County. Several other counties, including Nairobi, Mombasa, Isiolo, Embu, Machakos, Siaya, and Samburu, have been implicated in similar cases of financial misconduct.
The widespread nature of these issues points to a deeper problem within county administrations, where a lack of accountability has created opportunities for corrupt officials to exploit public funds.
The audit findings raise serious concerns about how counties manage their payrolls and whether the existing systems are effective in preventing fraud.
The misuse of public funds has a direct impact on service delivery. When money meant for salaries is stolen, counties struggle to pay legitimate workers, leading to delays in critical services.

Health workers, teachers, and other essential staff may not receive their wages on time, affecting their ability to perform their duties. Additionally, funds that could have been used to improve infrastructure, healthcare, and education are instead lost to corruption.
This not only slows down development but also erodes public trust in county governments. Authorities are now facing pressure to take action against those responsible. The exposure of this scandal has sparked demands for stronger financial oversight and better anti-corruption measures.
County governments must put in place stricter payroll management systems to ensure that only genuine employees receive salaries. Regular audits and increased transparency in financial operations are necessary to prevent further losses.
Without firm action, the problem will persist, allowing corrupt officials to continue exploiting public resources without consequences.This scandal serves as a reminder of the importance of transparency in payroll management.
Taxpayers’ money must be used appropriately to fund development projects and essential services, not to enrich a few individuals through fraudulent schemes. If no action is taken, county governments will continue to lose funds that could have been used to improve the lives of ordinary citizens.
Strengthening financial oversight and ensuring accountability are the only ways to protect public resources and restore trust in county administrations.