Auditor General Edward Ouko has declared the Kenyatta National Hospital (KNH) board unconstitutional over the lack of regional balance in the distribution of seats on the Board.
In a newly released audit report for the financial year ending June 30, 2015, Ouko notes that the board has eleven members out of whom 36 percent are from one ethnic community, a contravention of the National Cohesion and Integration Act.
The NCI Act 2008 states that a single community should not have more than 33 percent of the seats on the board of a national institution.
"The board, as currently constituted, is in breach of the law," the report reads in part.
The board is currently chaired by Mark Bor, with the other members being Peter Tum, Daniel Githegi, Hellen Chebet, Grace Mullei, Robert Mungai, Peter Odundo, Grace Wanyonyi, Fredrick Were and Calvin Nyanchoti.
KNH Chief Executive Lily Koros, who was recently sent on compulsory leave, was also a member of the board during the review period.
She was ousted by Health CS Sicily Kariuki following a botched brain surgery that saw the wrong patient go under the knife.
The surgery mix-up became the latest in a series of embarrassing scandals that rocked East Africa's biggest referral hospital within the span of a few months.
The alleged rape of new mothers, baby theft and cases of negligence dealt the hospital's image a major blow.
A section of MPs launched a bid to impeach CS Kariuki over the removal of Koros, a move that was eventually shelved despite garnering support from over 150 lawmakers.