Significant financial mismanagement has once again been uncovered at the Sports, Arts, and Social Development Fund, which is intended to finance the development and promotion of sports, arts, social initiatives, and universal healthcare.This revelation comes two years after another Auditor General’s report showed that up to Ksh8.4 billion from the fund—whose major source is betting and lotteries—had been misappropriated. The National Sports Fund, established under the Sports Act 2013 (Section 12 of Part III), is housed within the Ministry of Youth Affairs, Creative Economy, and Sports.##NAJAVA_MECA_8275719##The latest report by Auditor General Nancy Gathungu reveals that up to Ksh5.4 billion went unaccounted for, with leading sports federations and organizations failing to provide supporting documents on how funds were allocated to them for their activities during the financial year ending June 2023.The Ministry of Sports could not fully account for Ksh1.3 billion allocated for the 2023 World Rally Championship (WRC) Safari Rally. Ksh3.7 billion, reportedly distributed to sports federations and organizations to support sporting events, remains unaccounted for.“In the circumstances, the propriety, accuracy, and completeness of the expenditure of Ksh 3.7 billion could not be confirmed,” Auditor General Gathungu stated, as quoted by The Star. The federations only accounted for Ksh 2.7 billion.Regarding the rally expenses, Gathungu reported that over Ksh162 million in expenditures were unaccounted for, including Ksh24 million allocated for land access fees. She noted that key negotiation documents needed to verify how these fees were determined were missing during the audit.Furthermore, Gathungu pointed out that without a survey report detailing the route, distance covered, and specific locations, she could not verify the expenditures. Additionally, a valuation report outlining compensation rates for landowners was also not available for review.Nairobi City Stars keeper angling for Harambee Stars call upMore unaccounted funds went to professional volunteers at the rally, insurance services, and the preparation of a special stage at Kasarani. Gathungu also highlighted an excess expenditure at the fund, leading to pending bills of Ksh256 million.Also unaccounted for is Ksh1.3 billion, which was wired to the Ministry of Health, supposedly for the construction and equipping of eight unnamed hospitals, for which no returns were provided.Additionally, Ksh324 million, reported as disbursed to government agencies to support the promotion and development of the arts, remains unaccounted for, with no expenditure returns to confirm that the funds were spent on their intended purpose.The latest revelations follow another special audit released three weeks ago, which flagged the sports department over a potential loss of Ksh4.3 billion related to stalled stadium projects and the hosting of the WRC. In the report for the year ending June 2023, Auditor General Gathungu expressed concerns that, despite Ksh4.3 billion being allocated, various anomalies were observed in the projects.The stadiums in question include Moi Sports Centre Kasarani, Kamariny Stadium in Elgeyo Marakwet County, Kipchoge Keino Stadium (Phases I and II) in Eldoret, Karatu Stadium in Gatundu South, Wote Stadium in Makueni, Ruringu Stadium in Nyeri County, and Kirubia Stadium in Tharaka Nithi County.’This kind of game is not good for African football’ – Gor Mahia coach Neiva after defeat to Al Merreikh
