July 3, 2024

Global fund demands refund of Ksh184 Million misappropriated by health officials

2 min read
Global fund demands refund of Ksh184 Million misappropriated by health officials

Global fund demands refund of Ksh184 Million misappropriated by ministry of health that were meant for Malaria awareness campaign

Global fund demands refund of Ksh184 Million misappropriated by ministry of health that were meant for Malaria awareness campaign.

Rogue Ministry of Health officials may have embezzled at least $1.353 million (Sh185 million) in a donor-funded campaign that has left the government staring at refunds and potential sanctions from the Geneva-based Global Fund.

The Global Fund on Friday, May 12, demanded a refund of Ksh184 million that officials at the Ministry of Health allegedly misappropriated during a Malaria awareness campaign.

In a letter addressed to the Ministry, the organisation headquartered in Geneva, Switzerland, noted that the anomalies arose in an audit of the funds allocated for the campaign.

According to the organisation, the money was embezzled between 2020-2021.

The donor has demanded a refund if no justification is made for flagged spending that ranges from double payment of suppliers and allowances to unsupported purchases during a 2020-2021 malaria awareness campaign.

“The review has identified questionable costs totalling Ksh184 million and identified suspicious fraudulent payments and activities,” read the letter in part.

Global Fund detailed that there were instances where the ministry overpaid for supplies, with some contractors receiving double the amount.

Consequently, the donor granted the Ministry 60 days to resolve issues raised or refund the money. 

“We currently question the ability of the programme to successfully deliver and manage compliance on the 2023-2024 LLIN campaign in which the Global Fund is a main investor,” the organisation stated.

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On the other hand, the organisation blacklisted some officials accused of handling the funds.

“The same individuals are allegedly implicated in more fraudulent activities. These staff should be disengaged from the management of the Global Fund grants with immediate effect,” the Fund demanded.

This is the second time the Fund is demanding a refund for mismanaged funds in 2023.

On March 9, the Fund demanded a refund of Ksh40 million, allegedly embezzled through inflated prices of hotels where conferences for AIDS awareness campaigns were held.

According to the March 2023 audit, the money was embezzled between 2018 and June 2021.

Global Fund aims to support various governments in combating diseases such as Malaria. Billionaire Bill and Melinda Gates are among the biggest donors to the Fund.

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