Editor's Review

SHA has denied claims that it disbursed Ksh20 million to Nyandiwa dispensary, a non-existent health facility. 

The Social Health Authority (SHA) has refuted reports that it disbursed Ksh20 million to Nyandiwa dispensary, a ghost health facility in Homa Bay County.

In a statement on Friday, August 22, SHA CEO Mercy Mwangangi termed the reports as false and misleading.

Mwangangi explained that Nyandiwa dispensary was upgraded to Nyandiwa Level 4 Hospital and that the facility has been in operation since the 1970s.

“Nyandiwa Level 4 Hospital, Gwassi, Suba South, Homa Bay County, has been operational since the 1970s.

“The facility was formerly Nyandiwa Dispensary and was subsequently upgraded to a Level 4 hospital,” read part of the statement.

File image of SHA CEO Mercy Mwangangi

The SHA CEO noted that the hospital retained its existing bank account under the name “Nyandiwa dispensary” as it transitioned to Level 4.

Mwangangi pointed out that many facilities across the country that began as dispensaries or sub-district hospitals maintain their original bank account names after upgrading.

“The abandoned structure shown in the media is one of the incomplete facilities built by a former County administration. It has never been contracted by SHA and has no transacting rights,” said Mwangangi.

She mentioned that the disbursement of Ksh19,998,720 to Nyandiwa level 4 hospital represents legitimate and accumulated claims duly processed in line with SHA’s strict verification and payment protocols.

Mwangangi also said the health facility has received Ksh751,504 under Primary Health Care (PHC) and Ksh82,080,706 under the Social Health Insurance Fund (SHIF).

“The public can access all payments made to facilities on the SHA website, which are posted after each disbursement. These are not representative of one month’s claims, since the adjudication and verification process is continuous and happens at different stages,” she stated.

Further, Mwangangi said the authority will never disburse funds to non-existent or uncontracted facilities.

She stated that every payment is subject to rigorous verification to safeguard public funds and strengthen health service delivery.

The clarification comes after Kenyans on social media raised concerns about the disbursement of Ksh20million to Nyandiwa dispensary.

Netizens shared images of the health facility online, showing the dispensary closed and surrounded by bushes within its compound.

On Wednesday, August 20, SHA disbursed Ksh3.4 billion to health facilities countrywide.

Mwangangi, in a statement, said the funds are for inpatient and outpatient services, drug abuse cover, mental wellness, and surgeries.

“The Social Health Authority (SHA) has disbursed Ksh3.4 billion to Health Facilities nationwide for inpatient and outpatient services, drugs and substances abuse cover, mental wellness, critical care and surgeries,” she stated.

Mwangangi also said the authority has disbursed an additional Ksh1.09 billion from the Primary Health Care Fund.