Moi University has found itself at the center of controversy following the release of an audit report revealing that the institution spent a whopping Ksh. 29.8 million on the construction of its main gate. This revelation has raised eyebrows, with questions being asked about the university’s financial prudence, especially at a time when it faces insolvency and other critical challenges.

Highlights
● Moi University spent Ksh. 29.8 million to construct its main gate.
● The original budget was Ksh. 4.8 million but was later revised to accommodate changes.
● The National Assembly’s Public Investments Committee questioned the extravagant expenditure, especially given the university’s financial difficulties.

Audit Report Findings

Appearing before the National Assembly’s Public Investments Committee on Education, Moi University Vice Chancellor Prof. Isaac Kosgey acknowledged that the initial budget for the gate was set at Ksh. 4.8 million. However, this plan was scrapped because the proposed location for the gate was on a road reserve. A new design was then proposed, which resulted in a much higher cost of Ksh. 25 million.

Members of the committee, led by Bumula MP Jack Wamboka, were taken aback by the amount spent. Wamboka questioned how such a huge sum was approved for a gate while the university was struggling financially. “You build a gate of Ksh. 25 million, and yet you are insolvent? What is on this gate, is it a storied gate?” he asked, highlighting the seeming absurdity of the expenditure.

In addition to questioning the high cost, MPs also raised concerns about the fact that the university paid the entire contract amount even though the project had not been completed.

Public Backlash Over Costly Gate

In December 2023, Moi University announced a ceremony to launch the newly constructed gate, further fueling public outcry. Social media was flooded with criticism after photos of university staff surrounding the gate during its handover by the contractor were shared online. Many questioned the rationale behind the exorbitant cost, given the institution’s financial struggles.

Additional Audit Revelations

The audit report also revealed other financial irregularities, including fraudulent activities involving university employees. The committee heard that some employees had diverted millions of shillings meant for student fees into private bank accounts. According to the report, one staff member reversed credit entries totaling Ksh. 25 million, defrauding the institution.

Prof. Kosgey confirmed that two employees had been involved in the fraud. Although one of them was suspended in April 2018, the audit revealed that no conclusive action had been taken to resolve the case as of October 2019. The Vice Chancellor added that while both employees were dismissed, one was later reinstated following an appeal.

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Questionable Textile Investment

During the session, another controversial issue came to light. The committee criticized Moi University’s decision to acquire a textile company through a Ksh. 3 billion loan, an investment viewed as unwise. MPs pointed out that only 600 out of the university’s 30,000 students are pursuing textile-related courses, calling into question the logic behind the multi-billion shilling investment.

This, along with the gate expenditure, has led to heightened scrutiny of the university’s financial decisions, with stakeholders calling for more accountability from the institution’s management.