Corruption within the Social Health Authority (SHA) has been brought to light through advanced detection systems implemented by President William Ruto's administration. Speaking after a church service in Siaya County, President Ruto reaffirmed his commitment to hold all implicated individuals accountable and compel them to refund stolen public funds. He vowed to sustain a rigorous anti-graft campaign, urging national leaders to collaborate for the country's progress, emphasizing that the ability to unearth fraud within SHA and hospitals stems from the enhanced detection capabilities of the current system.

President Ruto issued a stern warning to those who might consider replicating past fraudulent activities at the defunct National Hospital Insurance Fund (NHIF), stating, “If you stole any money from NHIF or SHA, you will pay because we must be accountable.” He asserted his government's resolve not to succumb to detractors in its fight against corruption.

Further enhancing transparency, the President announced the imminent rollout of an electronic procurement system across all government sectors. He acknowledged resistance from some accounting and procurement officers, who he suggested wish to perpetuate fraudulent practices, but firmly declared, “there is no turning back. Anyone unwilling to implement e-procurement can as well leave government.”

Treasury Cabinet Secretary John Mbadi publicly supported the President's stance, accusing individuals involved in corruption of orchestrating false narratives to shield themselves. Mbadi clarified that the e-procurement platform was acquired in 2020, before his tenure, at a cost of Sh370 million, refuting claims circulating in some reports that pegged the cost at Sh5 billion.

Echoing the sentiment for stricter action, Ugenya MP David Ochieng and Uriri MP Mark Nyamita urged the President to deal firmly with those responsible for graft. Ochieng suggested that publicly naming culprits would serve as a powerful deterrent, while Nyamita stressed that robust punishment for offenders is crucial to restoring public trust.

Beyond allegations of corruption, the Social Health Authority (SHA) is also grappling with significant operational issues, notably delayed payments to health facilities, which are having a direct and severe impact on service delivery and staff welfare. The County Government of Kakamega, for instance, announced that its contracted hospital staff would receive only half of their August 2025 salaries. This drastic measure was communicated in a letter dated August 28, 2025, by senior health officer Hillary Kaverenge to all contracted personnel.

The letter explicitly stated, “Members regretted that the hospital has not been receiving payments from SHA for the last two months, which has led to a serious cash crisis.” This critical situation emerged from a hospital management meeting on August 27, which also revealed a substantial drop of more than half in monthly hospital cash collections, exacerbating the financial strain.

In response to these dire circumstances, the meeting resolved that in the absence of funding from SHA by month-end, the accounts office would proceed with paying half of the net salaries, with the assurance that arrears would be settled once SHA remits the overdue funds. The county government extended an apology to the affected workers, acknowledging that the situation was beyond the hospital management’s control. This ongoing development highlights the broader controversy surrounding SHA, encompassing delayed remittances to health facilities, allegations of fraud, and widespread operational inefficiencies.