A parliamentary committee has ordered the National Youth Service to make sure Sh12.5 million irregularly paid to controversial political analyst Mutahi Ngunyi (pictured) is refunded together with interest.
Ngunyi’s firm, The Consulting House, is said to have received Sh102.5 million from two contracts awarded in the Sh791 million NYS fraudulent transactions.
His firm was entitled to Sh90 million, according to the value of the two contracts.
The National Assembly Public Accounts Committee chaired by Rarieda MP Nicholas Gumbo expressed concern that the political analyst has continued to retain the money for more than a year without explanation.
Ngunyi on Wednesday did not appear before the committee to explain the circumstances under which he got the payments and when he would refund the money. He has been summoned to appear next week after he told the committee on the phone that he did not receive any invitation to respond to the issues, including landing the lucrative contract through direct single sourcing instead of open tendering.
The committee instructed the Ministry of Public Service and Youth to compute the total interest accrued.
The committee was interrogating Public Service PS Lilian Omollo and NYS director general Richard Ndubai on the irregular payments and why there was a delay in lodging a formal claim with Ngunyi for a refund of the surplus payments.
“If the money was invested in the stock exchange or real estate market, then Ngunyi has made millions in interest out of public funds. A framework must be established on what would be the actual interest he owes Kenyans,” said Gumbo.
It emerged that the ministry wrote to Ngunyi’s company on August 17 requesting him to return the Sh12.5 million paid in excess, following a special audit report that unearthed the irregular transactions. “Ngunyi is yet to respond to the letter, nor return the money,” Omollo said.
However, the letter came over a month after The Consulting House voluntarily wrote to the ministry admitting having received the excess payments erroneously, following the release of the special report by the Auditor General.
Kitutu Masaba MP Timothy Bosire and his South Mugirango counterpart Manson Nyamweya called for the ‘culprits’ within the ministry who processed the payments using a single voucher in a double payment to be brought to book.