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September 20, 2018

Nairobi spent Sh1 billion in legal fees, overshot budget by Sh5bn-Auditor General

A panoramic view of Nairobi city.The Auditor General’s report says the county government spent Sh1.1 billion in legal fees in 2014-15 financial year /HEZRON NJOROGE
A panoramic view of Nairobi city.The Auditor General’s report says the county government spent Sh1.1 billion in legal fees in 2014-15 financial year /HEZRON NJOROGE

The Nairobi government gobbled up Sh1.1 billion in legal fees, the 2014-15 Auditor General’s report says.

However, a total of Sh134 million paid to four firms and the county’s legal department had no supporting documents, raising concerns the money could have been misappropriated.

Among the law firms, whose payments are being questioned, include Mosyoki Mogaka & Company Advocates, which received Sh5.4 million.

Others are Momanyi and Associates which received Sh60 million, C W Ngala (Sh27 million), Kaceyo and Company (Sh5 million), while the county government’s legal department spent Sh36.6 million.

County staff also have an accumulated Sh39.7 million in unsurrendered imprests for the 2014-15 financial year.

The county also overshot its budget by Sh5.6 billion for the same financial year on the recurrent expenditure.

It also allocated a paltry Sh1 billion for development expenditure, way below the required threshold of not less than 30 per cent of the budget.

The county lost a whopping Sh15.7 million after customers who use the JamboPay system for parking fees reversed the transactions.

“It was not possible to confirm the nature of the transactions given that there was no explanation given at all,” says the report in part.

The county also varied the contract for the drilling of a borehole at Pumwani Maternity Hospital by Sh900,000 upon the request of the contractor without justification.

Taxpayers’ could have lost Sh 16 million paid to a contractor in December 2014 for the supply of uniforms. The report says two years later, the uniforms are yet to be delivered.

It also says 52 officers over-committed their salaries, earning less than a third against the law. “There is a possibility of fraudulent activities carried out by such employees to meet their basic needs,” the report adds.

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