An audit on free day secondary education programme has unearthed irregularities in expenditure of Sh20 billion disbursed in 2013-14 financial year in four counties.
The programme was initiated in 2008 under the Kenya Education Support Programme to improve transition into secondary school.
The audit shows that some schools in in Nairobi, Kiambu, Kajiado and Machakos counties flouted procurement regulations while others failed to account for funds disbursed to them.
The Auditor General's report reveals that JG Kierini Secondary School in Kiambu County indicated that it had 800 students while the actual number was about 597 and irregularly received Sh1,468,838.
The audit also shows that Precious Blood-Riruta failed to utilise Sh10 million disbursed in February 2013 for construction of two storey blocks.
Twenty-four schools in the four counties have also been accused of irregular transfer of funds without requisite authority during the period under review.
The report, however, notes that some schools refunded Sh13,796,232 to the original accounts while five schools failed to refund Sh1,994,330.
"The funds were spent on purposes other than the ones they were intended for. In the circumstances, the schools violated financial procedures and related financial management circulars issued thereon," the audit states.
The report further shows that Chania Girls Principal received Sh1,080,000 untaxed commuter allowance despite the purchase of school van in 2011. The irregular allowance has not been recovered.
An examination on procurement of goods and services in 36 schools revealed also that tenders worth Sh26,105,201 were obtained through direct procurement contrary to the Public Procurement and Disposal Act 2005.