The group is said to have missed their meals after the meeting of Kisii and Nyamira county leaders that President Uhuru Kenyatta addressed.
It is said they scrambled for food after they were alerted about a small remaining amount despite a long queue.
Sources say part of the delegation was looking for former Kisii Senator Chris Obure who allegedly disappeared with their money.
They claimed Obure had been given their cash for fare and lunch but that they could not find him after a few minutes.
Meanwhile, the caterers started clearing bowls thinking everyone had been served, only for another group to go demanding food.
"When they were told the food was finished, the angry and hungry lot descended on some of the caterers who scampered for safety," one of the sources told The Star by phone.
Others reportedly decided to dig into whatever was left in bowls without washing their hands.
Reached for comment on claims he disappeared with money, Obure said his enemies are spreading propaganda.
He accused some of the organisers of sabotaging him and tarnishing his name.
"These are just lies. Those spreading such rumors are just crazy fellows who want the whole thing to be blown out of context," Obure told The Star on phone.
-PATRICK VIDIJA