The Public Investments Committee on Governance and Education has cautioned the management of institutions of higher learning that they risk heavy penalties should the ongoing breach of audit rules persist.

The Committee chaired by Bumula MP, Hon. Jack Wamboka raised concerns over the pattern of breaches exhibited by institutions. This was during a meeting with institution heads from Maasai Mara Technical and Vocational College and Tharaka University College to review the report of the Auditor General on their financial statements.

As the Committee scrutinized the financial statements of Maasai Mara Technical Vocational College, it emerged that the institution had made irregular payments to trainers who are neither licensed nor registered to a tune of Kshs.3, 388,385.

The Principal, Dr. James Kinara was asked to explain the board allowance payment, in which the chairman was paid Kshs.10, 000 with other members taking home Kshs.8000 each, yet the rates had not been approved by the CS.

Dr. Kinara responded that although the payment had been made, the institution has since written to the Ministry seeking approval.

On Tharaka University College, the audit report pointed out the irregular appointment of members who lacked the requisite expertise in financial management, accounting and membership to professional bodies, to the University Council.

Further review also revealed gross under-expenditure of Kshs.83, 443,092 with the university having spent Kshs.268, 683,089 out of the allocated budget of Kshs.352, 126,187.

The Vice Chancellor, Prof. Peter Muriungi in his response argued that the university was implementing its first independent budget in that financial year and most of the operational areas were being set up hence the low absorption of the funds.

The Committee warned the heads over the delayed submissions of documents for audit and asked the management of the institutions to observe the audit cycle and desist from breaching the law.