Revelations by Auditor General Nancy Gathungu have left Kenyans in shock and outrage. Her report exposes a scandal of monumental proportions: the government has sunk a staggering Ksh. 104.8 billion into the Social Health Authority (SHA) systemโyet it neither owns nor controls it. This raises fundamental questions about transparency, accountability, and the protection of public funds.
๐ ๐ฆ๐๐๐๐ฒ๐บ ๐๐ถ๐ท๐ฎ๐ฐ๐ธ๐ฒ๐ฑ ๐ณ๐ฟ๐ผ๐บ ๐๐ต๐ฒ ๐ฃ๐ฒ๐ผ๐ฝ๐น๐ฒ
The Auditor Generalโs report reveals that the SHA system, which was meant to streamline health insurance for Kenyans, is entirely managed by private entities. The government does not have ownership, yet it has poured billions of taxpayer money into the project. Even more concerning, these private individuals reportedly pocket 2.5% of every contribution made by Kenyans, essentially turning public healthcare into a private cash cow.
This is not just an issue of mismanagementโit is outright exploitation. How did we get here? Who are the shadowy figures benefiting from this arrangement? Why has the government relinquished control of such a critical national system? These are the answers Kenyans deserve.
๐ข๐ฝ๐ฎ๐พ๐๐ฒ ๐ฃ๐ฟ๐ผ๐ฐ๐๐ฟ๐ฒ๐บ๐ฒ๐ป๐ ๐ฎ๐ป๐ฑ ๐๐๐ฏ๐ถ๐ผ๐๐ ๐๐ผ๐ป๐๐ฟ๐ฎ๐ฐ๐๐
The procurement of the SHA system bypassed the competitive tendering process mandated by Article 227(1) of the Constitution. Instead, a Specially Permitted Procurement Procedure was used to award the project to a private consortium. This decision undermined principles of fairness, transparency, and accountability in the use of public resources.
Even more alarming are the contractual terms attached to this project:
- The Kenyan government is barred from developing or accessing any similar system, effectively locking out future alternatives.
- Disputes arising from the contract are to be resolved by the London Court of International Arbitration, bypassing Kenyan legal mechanisms.
- The SHA system retains exclusive intellectual property rights, meaning that even after billions of shillings have been invested, Kenyans do not truly own it.
These terms suggest an arrangement designed not for the benefit of citizens, but to enrich a select few.
๐๐ผ๐ ๐๐ฒ๐ป๐๐ฎ๐ป๐ ๐๐ฟ๐ฒ ๐๐ฒ๐ถ๐ป๐ด ๐๐น๐ฒ๐ฒ๐ฐ๐ฒ๐ฑ
The financial model of the SHA system is another ticking time bomb. It is projected to generate Ksh. 111 billion over the next ten years by deducting:
- 2.5% from member contributions
- 5% from health facility claims
- 1.5% from track-and-trace solutions
The 5% deduction from health facility claims is particularly concerning. It means that hospitals and clinics will be charged for claims made through the systemโcosts that will inevitably be passed on to ordinary Kenyans. Instead of improving access to affordable healthcare, the SHA system is poised to make it even more expensive.
๐ ๐๐ฎ๐น๐น ๐ณ๐ผ๐ฟ ๐๐บ๐บ๐ฒ๐ฑ๐ถ๐ฎ๐๐ฒ ๐๐ผ๐๐ฒ๐ฟ๐ป๐บ๐ฒ๐ป๐ ๐๐ฐ๐๐ถ๐ผ๐ป
This scandal cannot be ignored. As a representative of the people, I demand full disclosure from the government regarding:
- The individuals behind this private consortium. Kenyans have a right to know who owns and controls a system they are funding.
- The rationale for bypassing competitive procurement. Why was a Specially Permitted Procurement Procedure used for such a major national project?
- The terms of the contract. The public must see the agreement that has placed our healthcare system in private hands.
- A reversal of exploitative deductions. The 5% claim deduction will burden hospitals and patients alike. It must be reviewed immediately.
- Renegotiation of the contract to restore government ownership and control. No country should allow private entities to hold its national healthcare infrastructure hostage.
๐๐ฒ๐ป๐๐ฎ๐ป๐ ๐๐ฒ๐๐ฒ๐ฟ๐๐ฒ ๐๐ฒ๐๐๐ฒ๐ฟ
The SHA system was meant to revolutionize healthcare access, not become a conduit for private profiteering. This situation demands urgent intervention from Parliament, the Ministry of Health, and all relevant oversight bodies.
The government must come clean. Who is this invisible character fleecing Kenyans? The people of Kenya will not accept silence. We demand transparency, accountability, and a healthcare system that truly serves the interests of all citizens, not a privileged few.
๐๐ผ๐ป. ๐ง๐ถ๐บ ๐ช๐ฎ๐ป๐๐ผ๐ป๐๐ถ, ๐ ๐ฃ ๐ช๐ฒ๐๐๐น๐ฎ๐ป๐ฑ๐