Uasin Gishu Senator Mandago alongside two co-accused have been released on Ksh2 million bond and surety of a similar amount or Ksh 500,000 cash bail.
Mandago appeared in court alongside Joshua Lelei and Mishack Rono.
The three were arraigned at the Nakuru Law Courts in relation to their involvement in the Ksh1.1 billion Finland Scholarship Programme scandal.
However, the court deferred plea taking for the trio following reports that the fourth suspect had sneaked out of the country at the height of the investigation.
The suspects are expected to face charges of forgery, abuse of office, conspiracy to commit a felony and stealing.
They are alleged to have conspired to steal Ksh1.1 billion from an account domiciled at the Kenya Commercial Bank in Eldoret registered under the Uasin Gishu Education Trust Fund meant for overseas university fees for students under Uasin Gishu County Overseas Education Programme.