MPs grill PS Isaboke over Sh500m MyGov spending

The State Department for Broadcasting and Telecommunications faced intense scrutiny in Parliament after revelations that Sh500 million was spent on producing and distributing the MyGov pullout in newspapers without clear records to prove value for money.

Principal Secretary Stephen Isaboke appeared before the Public Accounts Committee (PAC) on Tuesday to respond to audit queries raised in the Auditor General’s report for the year ending June 2023.

The report highlighted payments made through the Government Advertising Agency (GAA), which manages state notices and advertisements in the MyGov supplement, but noted glaring gaps in circulation records and advertising revenue.

According to the report, Sh495,389,974 was spent on printing, advertising and information supply services paid to four newspapers, yet revenue generated from advertisements fell short of projections.

“In the circumstances, the value for money from the expenditure of Sh495,389,974 could not be confirmed,” the report stated.

PAC chair Tindi Mwale said the agency had repeatedly ignored calls to present verified data on the number of MyGov copies printed, distributed and returned. Gatundu South MP Gabriel Kagombe went further, questioning why payments were made to The People Daily despite reports that it had stopped publishing.

“The State Department is telling us they paid for printing and distribution, yet some newspapers mentioned here, like The People Daily Newspaper, had even stopped printing. They are no longer printing paper,” Kagombe said.

“They claim to have paid for printing and distribution, but this is outright theft of public funds. This committee has repeatedly asked the PS to monitor what goes to the press, how many copies are printed and how many are returned. They have refused, and the only reason is that theft is taking place in that State Department.”

Isaboke, who has been in office for four months, defended the agency.

He maintained that The People Daily was active at the time and had a valid contract with the GAA. “Historically, government expenditure on advertising was much higher. The GAA was established to plug this gap and bring efficiency. While the system is young and still on a learning curve, the intention is to deliver services more efficiently,” he said.

He admitted, however, that the agency struggled to meet its revenue targets. Of a projected Sh1 billion, only Sh441 million was collected, which he attributed to delayed payments from ministries and departments.

Rarieda MP Otiende Amollo pressed the PS to provide comparative data to prove that government advertising costs had indeed reduced under the GAA.

“You stated that prior to the GAA, cumulative government spending on advertising was higher than it is now. If that is the case, then provide an analysis of the three years before GAA was established against the three years under its management. Only with such evidence can we determine whether there is value for money,” he said.

Amollo also raised concerns that some media outlets may have been deliberately sidelined. His concerns were echoed by Samburu West MP Naisula Lesuuda, who asked why the government chose not to place adverts directly with media houses. “What informed the government’s decision not to advertise directly with media houses? This raises the question of whether some newspapers are being deliberately excluded,” she said.

Isaboke rejected the claims. “That would be unconstitutional. Any outlet that meets procurement requirements is eligible to do business with the government,” he said.

The PS was also pressed to provide verified circulation data for MyGov. Kagombe insisted that only concrete numbers could prove whether taxpayers’ money was used appropriately.

“Can the PS demonstrate, with certainty, how many copies were printed during that year and how many actually reached the public? Did the government truly communicate with the people? Without such data, how do we know these publishers didn’t just print a single copy? That is the evidence we need tabled before us, proof that value for money was achieved,” he said.

Turkana Central MP Emathe Namuar accused the GAA of overspending and working outside its budget.

“Why doesn’t the agency spend within the budget given by Treasury? And whenever you go beyond your allocation, is there any formal communication to show that the funds are exhausted? Otherwise, this appears to be another window of looting,” he said, while urging the government to embrace cheaper digital platforms.

Isaboke agreed that digital platforms would be more cost-effective but explained that the law currently requires some notices to be printed.

“We would welcome a review of the law to allow hybrid digital and print publication. Most young people consume news online, but as it stands, we must comply with the law mandating print,” he said.

PAC directed the State Department to table a detailed report within two weeks covering circulation data, revenue records and expenditure comparisons. Mwale reminded the PS that the issue at hand was not just about budget allocations but whether Kenyans got value for money.