Treasury on spot over disbursement of Ksh16.8 billion meant for retired teachers
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National Treasury on spot over disbursement of Ksh16.8 billion meant for retired teachers after CS Ndung'u fails to honour summons
National Treasury on spot over disbursement of Ksh16.8 billion meant for retired teachers after CS Ndung’u fails to honour summons.
National Treasury Cabinet Secretary Njuguna Ndung’u on May 30 came under fire for ignoring multiple summons from senate committees over disbursement of funds meant for retired teachersisbursement.
The Senate Committee on Education highlighted that Ndung’u had repeatedly declined to respond to inquiries regarding the disbursement of Ksh16.8 billion meant for retired teachers.
The committee claims that the CS neglected to explain the payment since teachers asserted they had not received their pensions.
It stated that attempts to seek audience with CS Ndung’u in order to allay the worries were fruitless.
“The reason we cannot confirm the payment is that the information provided by the National Treasury indicates the number of teachers paid and the banks and SACCOs they were paid to.
“However, there are no names, and there is no evidence to prove that the teachers who retired between 1997 and 2003 have been paid,” the committee stated.
Additionally, the CS had earlier been summoned by Members of parliament to answer questions on implementing the new Excisable Goods Management System but failed to honour the summons.
He was expected to answer questions raised by minority leader, Opiyo Wandayi, who raised a red flag on a move by the government to renew the contract with a Swiss multi-national security printer.
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Ndung’u was also put on the spot for failing to answer questions on why the East African Development Bank was remitting millions of shillings to a lawyer based in the United Kingdom under unclear circumstances.
In early May 2023, CS Ndung’u confirmed that Treasury released Ksh16.08 billion to 22,022 retired teachers after 20 years of delays.
The amount disbursed covered the period between 1998 and 2003.
However, 23,487 retired teachers from the Teachers Service Commission (TSC) applied for pensions.
According to the CS, the remaining 1,465 would be paid at a later, yet to be disclosed, date.
Treasury was compelled to pay the teachers after the Supreme Court, Court of Appeal and the High Court all ruled in the favour of teachers.
The High Court in Nakuru, on October 28, 2008, ordered the pension funds to be released.
The government’s efforts to counter the ruling in subsequent appeals failed, with the Supreme Court upholding the verdict on December 9, 2015.
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