Busia Senator Okiya Omtatah has called for the immediate suspension of the Social Health Authority (SHA), urging the Ministry of Health to take swift action on what he termed as glaring operational failures.
Omtatah also said SHA operations should be suspended until a thorough investigation is conducted following damning findings by the Auditor General.
“Instead of advancing universal healthcare, SHA has become a dysfunctional system that exploits Kenyans while enabling large-scale corruption,” Omtatah said on Wednesday.
“This is not reform; it is an elaborate fraud designed to enrich a few at the expense of millions. SHA is not just riddled with corruption — it is operationally collapsing.”
Omtatah emphasized that those responsible must be held accountable to prevent further plundering of public resources.
The legislator warned that continuing with the broken scheme would cause irreparable harm, betraying the trust of millions who deserve a transparent, accountable, and functional healthcare system — not a corruption cartel disguised as progress.
“Healthcare facilities are refusing service due to unpaid claims, patients are being forced to pay cash despite contributing, and out of 18 million registered Kenyans, only 4 million are actively contributing. This is a glaring sign of distrust and financial instability,” said Omtatah.
Audit findings
His remarks follow Auditor General Nancy Gathungu’s revelations of irregularities in the procurement of the technology system running SHA, urging Parliament to take decisive action against those responsible.
Appearing before the Senate Public Accounts Committee on Tuesday, Gathungu asserted that she had fulfilled her constitutional duty by exposing flaws in the tender process.
“I have concluded that there was no effectiveness or lawfulness in the use of public resources on these matters. There is the aspect of governance and risk management, and I have been very clear that there were issues,” she said.
Her remarks came as senators criticized her reports for lacking specific recommendations for prosecution.
However, Gathungu pushed back, insisting that it was now Parliament’s role to ensure accountability.
Gathungu’s 2023-2024 audit report revealed significant legal violations in the Sh104 billion procurement of SHA’s technology system.
The report highlighted unbudgeted and non-competitive procurement, an undefined scope of work, and a lack of payment agreements.
It also flagged unfavourable contract clauses that cede control of the system to a private entity, barring government health agencies from accessing or modifying it. By
