Auditor-General Nancy Gathungu has flagged the Pharmacy and Poisons Board (PPB) over what she terms the irregular appointment of a chief executive officer in an acting capacity.
Ms Gathungu said there was no evidence showing that the acting CEO was appointed by the PPB board in consultation with the Cabinet Secretary for Health.
“Review of available information indicated that the current chief executive officer was serving in an acting capacity. However, there was no evidence to confirm that the appointment in an acting capacity was made by the Board in consultation with the Cabinet Secretary of the Ministry of Health,” she said in the audit report for the financial year ended June 30, 2025.
The Auditor-General noted that all appointments, including those in an acting capacity, must comply with the applicable legal and governance framework.
In the case of the PPB, the board is responsible for making such appointments, including temporary or acting roles.
The board is required to formally deliberate and pass a resolution approving the appointment. The decision must be minuted and supported by documentation outlining the reasons for the acting appointment, its duration and terms of service.
Ms Gathungu said the acting appointment “was contrary to paragraph 1.18 of the code of governance for State corporations (Mwongozo), which states that there shall be a chief executive officer who shall be appointed by the board on such terms and conditions of service as the minister may approve.”
A review of Gazette notices for 2025 shows no publication relating to the appointment of a PPB chief executive.
Although a Gazette Notice dated July 4, 2025, reflects the appointment of a non-executive chairperson to the board, there is no corresponding notice confirming the appointment of a chief executive officer in 2025.
This suggests that, based on the reviewed publications, no formal gazettement of a CEO appointment had been made.
The audit report, signed on December 4, 2025, also cited understaffing, failure to implement internal audit recommendations, weak board oversight, absence of a fuel register and weaknesses in IT systems.
