Kirinyaga Governor Anne Waiguru, former PS Peter Mangiti and former director general Nelson Githinji have been dragged back to the multibillion-shilling NYS scandal.
Public Service and Youth PS Lillian Omollo who stepped aside said her department paid Sh9 billion to suppliers as pending bills from her predecessors.
Omollo told the National Assembly Public Accounts Committee on Friday her offi ce paid the suppliers Sh6.2 billion in Financial Year 2016-17 and Sh2.8 billion in 2017-18.
She said she paid an additional Sh6.6 billion to cohorts, an amount that had accrued for three years before she assumed office in December 18, 2015.
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The accounting officer then was PS Peter Mangiti, the holder of authority to incur expenditure was then NYS DG Githinji and CS Anne Waiguru, Omollo told the committee chaired by Ugunja MP Opiyo Wandayi.
“The situation we inherited in NYS when we took offi ce from December 18, 2015, and for director general in January 2016, was one of absolute confusion in all matters relating to procurement and fi nancial statements,” she said.
Omollo said some of the 1,600 suppliers who submitted delivery notes to her office have been threatening her over the pending bills.
“We spend sleepless nights over their threats, consistent calls and intimidation. This has become part of our daily way of life. We have 1,600 delivery notes from suppliers whom we have listed, but if you have not followed the procurement process, I won’t pay,” she said.
In 2016, the EACC cleared Waiguru of any wrongdoing in the Sh791 million NYS scandal. Some estimates placed the amount at Sh1.6 billion or more.
COLOSSAL
Njoro MP Kuria Kimani asked, “What is the problem with NYS? It is an ambitious programme for the youth but Kenyans lose billions of money annually. Is it that money meant for the youth is so easy to steal?”
Omollo and DG Richard Ndubai resigned on May 19 for a three months to pave the way for investigations into the mega scam.
Yesterday, Omollo rubbished claims that NYS lost Sh9 billion, saying that she has, together
with Ndubai, revolutionised the service and sealed all loopholes for misappropriation of funds.
A loss of Sh9 billion would mean NYS was technically and operationally closed for the two financial years, she said.
“If the colossal amounts of money have been lost and were completely undetected by the Auditor General’s office, it indeed raises a lot of questions, which we too are keen to understand and unravel.”
She said the Auditor General had given her department a clean bill of health in its 2016-17 report.
The report stated in part: “...based on the audit procedures performed, I can confirm that nothing has come to my attention to cause me to believe that public money has [not] been applied lawfully and in an effective way.”
Omollo said she has received 14 invites from PAC, 63 from other Parliamentary departmental committees, 12 from the Directorate of Criminal Investigations and 62 from the Ethics and Anti-Corruption Commission.
Omollo and Ndubai said they had since 2016 approved the Kenya Cooperative Creameries to supply milk powder to NYS, a move that has cut off powerful suppliers and saved the taxpayers Sh600 million annually.
“There are bound to be consequences for that and there was immense resistance from individuals who were previously benefiting from the tenderpreneurs,” she said
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They authorised the National Oil Corporation of Kenya to supply fuel to all NYS vehicles and saved Sh300 million annually, she said.
Omollo said the service currently makes its uniforms and those for other uniformed services, saving the country Sh600 million.
“I have confidence that I have executed my mandate without fear or favour. We are 45 million Kenyans and there are many people who would be interested in my job but I don’t believe that there is anyone who is equal to me,” she said.
Early this year, magistrate Lawrence Mugambi freed 23 suspects of the first NYS scandal for lack of evidence. In ruling whether the accused persons should be put on their defense, Mugambi said the prosecution had failed to establish a prima facie case against them.
In the case, Mangiti and his co-accused had denied that on December 12, 2014, they unlawfully disposed the millions.
Waiguru, while appearing before the PAC of the 11th Parliament, took the NYS scandal to the doorstep of Deputy President William Ruto.
She named Ruto’s aide Farouk Kibet as a key figure in the NYS heist and said he had 150 calls with suspect Ben Gethi at the time of the scandal.
The then CS also named key Ruto ally Elgeyo Marakwet Senator Kipchumba Murkomen as another important figure with many contacts with businessman Gethi.
She put up a spirited defence of her own role, saying she was a blameless whistle-blower.
The seven-and-a-half hour session was contentious in the morning and Waiguru asked for assurance she was not the target of a witch-hunt.
MPs were probing theft of an initial Sh791 million; that figure was raised to at least Sh1.67 billion by the Auditor General.
Waiguru sensationally claimed the “cartel linked to Gethi” had spent Sh200 million to destroy her reputation. “We have already established some Sh200 million was used to ensure I am kicked out of government and spent in the media and social media,” Waiguru told the committee.
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