Businessman Ben Gethi has admitted to inflating prices of fuel that a firm he partnered with supplied to the National Youth Service.
Gethi said on Tuesday that he has received Sh500 million so far from Horizon Enterprise for fuel and diesel contracts with the youth service.
He faced the Public Accounts Committee in connection to the Sh791 million scandal.
The businessman refused to reveal the name of the firm he partnered with in the presence of journalists.
MPs had asked him how he landed the deal without ever being a fuel dealer.
But he revealed that he supplied fuel at Sh104 per litre against the market price of Sh78 between 2014 and 2015.
The businessman explained that his was because of the fluctuation of fuel prices in that period. He further said the fuel delivered was not specifically petrol and diesel.
"We were forced to bid because the prices were not stable and being in business it was fair to be on the safe side," he said. "We delivered fuel like gear oil, lubricating oil and normal fuel so the prices covered all these."
Gethi also admitted that the Energy Regulatory Commission dd not license him to supply fuel on wholesale as required by law.
Gethi said he also secured a contract for the supply of foodstuff for his Lateco Technologies company.
But he earlier told the committee that his business with NYS was confined to Horizon's supply of fuel, and that this was clear in logs for payments for delivered goods and services.
The businessman assured the committee that he was ready to provide key information and documents to help arrest individuals involved in the NYS theft.
He accused DPP Keriako Tobiko and Banking Fraud Unit boss Joseph Mugwanja of "fabricating documents" to link him to the NYS saga.