Grieving Families of Civil Servants Sink into Poverty as SHA Boss Sits on Billions Released by Treasury

Over 7 billion shillings earmarked for insurance claims to widows, orphans, and injured civil servants has been withheld for over five years, pushing many families into destitution.

This financial crisis is exacerbated by the apparent inaction of Dr. Mercy Mwangangi, the Chief Executive Officer of the State Health Agency (SHA), who is under scrutiny for failing to disburse funds that were reportedly transferred from the National Treasury.

In an official letter dated July 1, 2025, the National Treasury highlighted the urgency of the matter, stating that Kshs 1.585 billion had already been remitted to SHA, and discussions were ongoing regarding additional claims worth Kshs 3.93 billion.

Documents in our possession underscores the expectation that funds would be utilized to clear longstanding claims dating back to April 2021.

The Impact on Families

Mary Achieng’, a widow from Kisumu, revealed, “We are starving. My husband died in the line of duty five years ago. Not a single cent has come to us.” Such testimonies illustrate the emotional and financial impact the delay has caused.

Families are experiencing homelessness, lack of basic necessities, and children are unable to attend school due to unpaid claims that were meant to provide for their needs.

A Pattern of Neglect

Despite assurances from the National Treasury that the funds were released, the SHA has not acknowledged receipt or initiated any payments. This inaction has left many families living in precarious conditions, struggling day-to-day.

The documents we have seen illustrates the struggle for transparency, highlighting that even with previous letters sent confirming the financial obligations, Dr. Mwangangi’s office has failed to respond or take action.

This ongoing silence occurs amidst rumors of possible bureaucratic sabotage or internal conflicts — hindering necessary payments to underwriters, thereby affecting claim processing.

Challenges Persist

The situation spirals deeper with civil rights groups prepared to file legal action against SHA if immediate measures are not taken. Reports indicate that underwriters are on the brink of collapse, with some reporting that they’re unable to process new claims without the promised funds.

These financial struggles not only threaten the immediate well-being of affected families but have long-term implications on the trust and stability of the public service sector.

The Call for Action

“It’s a matter of moral responsibility. Dr. Mwangangi must act,” said one human rights activist advocating for accountability. As civil rights groups prepare to escalate their demands, the SHA and its leadership face increasing pressure to resolve these outstanding issues.

Conclusion

The stakes are high, not just for the 7 billion shillings at the center of this crisis, but for the trust of thousands of civil servants who serve their country with dedication. A swift resolution is necessary to prevent further suffering among families who have already endured enough loss.

As the nation awaits, Mwangangi sits pretty as families continue to suffer.

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