TSC refutes financial meltdown claims over Ksh7.9 billion audit deficit

The Teachers Service Commission (TSC) has refuted viral social media claims of a Ksh7.9 billion financial meltdown. In an official statement issued on April 6, TSC described the information as false. The claims stem from a June 2025 audit report highlighting financial pressures.

The Teachers Service Commission (TSC) swiftly refuted claims circulating on social media and WhatsApp groups about a Ksh7.9 billion financial meltdown. TSC oversees more than 340,000 teachers nationwide. The misleading post alleged that an audit report showed overspending, pending bills, and poor financial management, hindering teacher payments and operational costs.

In its official statement, TSC declared, “Please be advised that the information circulating regarding a Ksh7.9 billion Financial Meltdown at the Teachers Service Commission is false!” The claims reference a June 2025 audit by Nancy Gathungu, which reported a Ksh4.38 billion budget deficit, raising the accumulated deficit to Ksh7.34 billion. It noted current liabilities of Ksh12.3 billion against Ksh4.4 billion in assets, resulting in negative working capital of Ksh7.9 billion.

The auditor general flagged recurrent budget overspending by Ksh4.48 billion, breaching the Public Finance Management Act. TSC faces Ksh12.3 billion in pending bills, stale cheques, and unresolved compensation claims of Ksh186 million under the Workers’ Injury Benefits Act, some dating back over two decades.

TSC urged the public not to be misled by the false information.

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