Committee Probes Audit Concerns in Safety and Health Fund

A parliamentary committee has launched a probe into audit queries surrounding the Occupational Safety and Health Fund, following concerns raised by the Auditor-General over financial management and compliance issues.

The Special Funds Accounts Committee, chaired by Fatuma Mohammed, convened on Thursday to review the Fund’s financial statements for the 2022/2023 to 2024/2025 financial years.

Appearing before the Committee was the Principal Secretary for Labour and Skills Development, Shadrack Mwadime, accompanied by ministry officials and the Fund’s management team. They were tasked with responding to concerns highlighted in the Auditor-General’s report.

At the center of the probe is expenditure on goods and services, particularly payments made through direct procurement using standing imprest. The Auditor-General flagged this as a violation of Section 106(2)(a) of the Public Procurement and Asset Disposal Act, 2015, which requires procurement from registered suppliers.

In his defense, Mwadime explained that the expenditures in question were cumulative and used to facilitate routine operational needs across departments. These included communication expenses, office refreshments, and other low-value items necessary for day-to-day operations.

Committee members also raised concerns over the lack of formal contracts with media houses, questioning the transparency and accountability of media-related spending. In response, management assured the Committee that all relevant documentation would be submitted for review.

Additionally, the Fund cited inadequate budget allocations as a major challenge affecting its performance. Officials noted that limited funding has constrained their ability to deliver services effectively.

Despite the concerns, Mwadime assured the Committee that corrective measures have already been implemented to address the audit issues. He further pledged that similar irregularities would not recur in future financial periods.

The Committee is expected to compile its findings and recommendations after reviewing the submitted documentation.