Homa Bay water department has discovered irregular payment of more than Sh8.4 million to a ghost company contracted to clean Kendu Bay town.
The payments were to a ghost company named Sphmnazly.
This was realised after a bona fide group of youths who clean the town protested delayed payments by their employer.
The youths downed their tools after going without pay for three months.
“The department of water and environment tells us they don’t have our salary arrears but we’ve not seen the money for three months,” one of the youths said.
The company allegedly recruited youths to clean Kendu Bay town and the county government paid them at least Sh700,000 per month.
Speaking to journalists in his office, Water and Environment executive Dickson Nyawinda said he discovered the loss of the funds after cleaners boycotted work.
“I was surprised when youth and women assigned to do cleaning in Kendu Bay refused to work due to salary arrears. I knew we had cleared all their payments,” Nyawinda said.
On Wednesday, the CEC said they had made payments for one year.
The funds were transferred from the county treasury to the bank account of the company.
Nyawinda said the phony company signed a contract with the county government to offer cleaning services.
“The agreement was signed before I joined the cabinet. I do not know the content of the contract they had with Homa Bay government,” Nyawinda said.
The executive said they are currently hiring youths and women to clean the town.
“We’re going to contract a group of youths to clean the town,” he added.
He said they will give priority to the youths who have been cleaning the town during recruitment.
Nyawinda said he will present the matter to the cabinet before they take any action.
“I have notified Homa Bay treasury to stop with immediate effect releasing funds to the company as investigations continue,” he said.
