• PIC had also directed that Ethics and Anti-Corruption Commission carry out a probe on how the hospital land was allocated to individuals.
• Ouko further questioned 1.3 hectares in Karen in the name of National Quality Control Laboratory rather than KNH.
Kenyatta National Hospital is in Auditor General’s spotlight for ignoring a directive by the Public Investment Committee to repossess Sh50.6 million land in private hands.
In his 2017-18 audit, Edward Ouko faults KNH for dragging its feet in revoking four title deeds irregularly issued to private entities.
The 0.7847-hectare properties in Upperhill were excised to private entities.
“Also, the issue has been discussed by PIC. No action seems to have been taken on the PIC recommendations in the 19th report that the National Land Commission revoke title deeds irregularly issued to private entities,” Ouko says.
PIC had also directed that Ethics and Anti-Corruption Commission carry out a probe on how the hospital land was allocated to individuals and that the then KNH chief executive officer be surcharged for any loss incurred.
Ouko further questions a 1.3-hectare Karen land in the name of National Quality Control Laboratory rather than KNH.
“The hospital has made an adjustment of Sh100,087,000 in respect to the National Quality Control Laboratory land portion, However, the adjustment has not been supported with documentary evidence,” the report states.
The report tabled on Wednesday by National Assembly’s Majority leader Aden Duale further poked holes in the arrangement where Kenya Urban Roads Authority compulsorily acquired seven acres of KNH land and failed to pay the Sh1,859,297,000 compensation fee agreed upon.
KNH was again found to have ignored another PIC recommendation to have three firms investigated and prosecuted over Sh31,734,000 prepayment to contractors.
Ouko also red-flagged Sh15,607,000 allegedly spent by the hospital to pay for meal allowances to security officers during the year under review.
The auditor questions how the hospital agreed to burn millions of taxpayers’ money to feed the officers for doing their work.
“Authority in support of the payments was not availed for audit review. No explanation has been provided for paying security officers meals allowances for working in their duty station,” Ouko says.
The report further warns that KNH will continue suffering huge losses if it does not review its agreement with the government to increase maternity reimbursement which currently stands at Sh17,500.
According to Ouko, KNH, being a referral hospital, receives complicated maternal referrals and as a result, the costs are higher than the agreed amount reimbursable.
Records at KNH show that the facility has incurred Sh177,237,000 loss on free maternity programme offered by the hospital.
Edited by R.Wamochie