NATEMBEYA UNDER FIRE AGAIN OVER KSH 30M UNSECURED LOANS

Trans Nzoia Governor George Natembeya is once again on the spot after the Senate Public Investments and Special Funds Committee exposed irregular disbursement of over Ksh 30 million in unsecured loans to county officials.
Appearing before the Senate committee on Wednesday July 30, 2025, Governor Natembeya was hard-pressed to explain how Ksh 30.73 million from the Car Loan and Mortgage Fund was issued to senior county staff without collateral, loan applications, approval minutes, or proper documentation, in contravention of Regulation 16(1) of the Public Finance Management Act.
Senators expressed shock at revelations that Ksh 10.65 million remains uncollected from former staff who have since exited the county government.
“This is a complete breakdown of accountability. How do you run a county fund without basic loan records?” posed Migori Senator Eddy Oketch, who chairs the committee.
Senator Raphael Chimera also criticized Trans Nzoia’s finance department, accusing them of consistent mismanagement of funds, citing similar issues in bursary, climate change, and Nawiri allocations.
In his defence, Governor Natembeya admitted to lapses within his administration, particularly a lack of staff compliance with professional training. He told the committee that his office had funded several training sessions, but many employees failed to attend.
“I will take immediate steps to strengthen internal controls, recover outstanding loans, and ensure all future borrowing is properly secured,” said Natembeya. He also promised to submit the county’s loan agreement with SBM Bank, which manages the fund facility.
The revelations come amid ongoing pressure on Natembeya, who is already facing corruption charges filed by the Ethics and Anti-Corruption Commission (EACC) in May over alleged irregular procurement deals worth Ksh 1.4 billion.
Political observers warn that the new controversy could deepen his legal and political woes as calls for greater accountability continue to grow.