ADDRESS BY AUDITOR-GENERAL, EDWARD OUKO, TO
PARLIAMENTARYACCOUNTS COMMITTEE ON THE HIGHLIGHTS OF THE
NATIONALGOVERNMENTAUDITREPORT,2013/2014FINANCIALYEAR,
ONAUGUST13,201M! C"#$!%#&, H'&'(!#)*+ %+%)+!,Let
metakethisopportunitytothank theleadershipof Parliament,
ParliamentaryAccounts Committee and Honourable members for giving
me this opportunity to sharemyReport of theNational Government
Accountsfor !"#$!"%financial year& 'hisopportunity is a clear
sho(of Parliament)s resolve and commitment in
ensuringaccountability and transparency in the management of public
resources&M! S-+#.+! S$!, H'&'(!#)*+ %+%)+!,*efore+ get to
thegist ofthematter,allo(me tobriefly outline
themandateofmy,ffice&M#&/#0+ '1 0"+ A(/$0'!-G+&+!#*'he
,ffice is mandated under Article - .%/ of the Constitution to audit
and report on0 'he accounts of the national and county governments1
'he accounts of all funds and authorities of the national and
countygovernments1 'he accounts of all courts1 'he accounts of
every Commission and +ndependent office established by
theConstitution1 'he accounts of the National Assembly, the2enate
and the county assemblies1 'he accounts of political parties funded
from public funds1 'he public debt1 and 'he accounts of any other
entity that legislation re3uires the Auditor4General
toaudit&'he Constitution further re3uires the
Auditor4Generalunder Article - .5/ to confirm(hether or not public
money has been applied la(fully and in an effective (ay&M!
S-+#.+! S$!, H'&'(!#)*+ %+%)+!,+n e6ecuting the above mandate,
the ,ffice anchors itself on three strategic pillars0#2
C+!0$1$3#0$'& '1 A33'(&0, 0' #,,(!+ 1$,3#*
A33'(&0#)$*$04'his pillar responds to the core mandate of
certifying accounts at
nationalandcountylevelsande6pressinganopinionasto(hether
theyarepreparedinaccordance(iththeapplicablefinancial
reportingframe(orkand$or statutoryre3uirements& 'he end product
of this e6ercise is an annual audit report on eachentity that is
presented to Parliament and the relevant County
Assembly&)2C'&0$&('(, #(/$0 -!+,+&3+ 0' #,,(!+
'& %#+!$#* #33'(&0#)$*$04Continuous audit ensures that the
,ffice is proactive, preventive and deterrent tofraud7corruption,
(astageandabuseof publicresources& 'hisre3uirestheauditor to
constantly be on the ground to continuously assess the risks
broughtabout bytheevolvingenvironment soastoperform8real time9
transactionstesting and data analysis that enable timely
recommendations& 32P+!1'!%#&3+ #(/$0 0' #,,(!+ '&
,+!6$3+ /+*$6+!4 0' K+&4#&,+n this pillar (e respond to the
economy, efficiency and effectiveness (ith (hichthe resources are
utilised to deliver services to the public& M! S-+#.+! S$!,
H'&'(!#)*+ %+%)+!,No(allo(metogointothescopeof theaudit of
thenational government forthe!"#$!"% financial year&S3'-+
#&/ P+!1'!%#&3+ '1 0"+ A(/$0Asre3uiredunder
theConstitution, thescopeof theaudit of National Governmentincludes
:inistries, Government ;epartments, Agencies,
'hisistheinauguralmeetingbeforetheaudit e6ercisecommences&
'hecontents of letter ofunderstanding are discussed during this
meeting.iii/ +ssue audit 3ueries to audited entity > 'hese are
issued to inform managementof any significant matters found during
the audit&.iv/ Hold e6itmeetings >?einvite management ofthe
auditee to attend thesemeetings (here my auditors share the
findings of the audit e6ercise&.v/ +ssue:anagement letter
>'his(eissuetothe Accounting,fficer of theauditeeandincludesall
unresolvedaudit findingsande6ceptionsthat arelikely to be included
in the audit report if not satisfactorily clarified&;epending
on the response of the :anagement to this letter, (e either
retain,drop or keep the matter.s/ in vie(&.vi/ +ssue draft
audit Report > 'his (e send to the Accounting ,fficer to inform
theAudited @ntity of all outstanding significant issues found
during the audit andincluded in the :anagement Letter&;epending
on the response of the :anagement to this draft report, (e
eitherretain, drop or keep the matter.s/ in vie(&.vii/ +ssue a
?e consolidate all the issuedaudit reports for different
:inistries$;epartments$Agencies&O6+!6$+7 '1 2013/14 N#0$'*
G'6+!&%+&0 A(/$0 R+-'!0Page 3 of 19M! S-+#.+! S$!,
H'&'(!#)*+ %+%)+!,Let meno(gototheovervie(of theNational
Government Report& + signedtheConsolidated Report for all
National Government :inistries, ;epartments and Agencies.:;As/ on
Aune -, !"B& 'he report (as submitted to the 2peaker, Cabinet
2ecretaryNational'reasuryand;irectorGeneral
inchargeofAccounting2ervicesonAuly5,!"B and to the Clerk of the
National Assembly on "! Auly !"B& 'he individual :;As)Reports
(ere issued to the respective accounting officers by end of :ay
!"B&:y ,ffice is a(are of the increased demand for
accountability information in Cenya byvarious stakeholders& 'he
media has particularly been active in picking issues raisedafter
the
