WAR ON CORRUPTION

PIC starts probe into alleged Covid-19 funds loss at Kemsa

Committee has asked the CEO to provide the auditor general with all documents related to PPE tenders.

In Summary

•PIC is fifth committee of Parliament to take up the matter.

•Lawmakers have demanded a list of companies that were awarded tenders.

Mvita MP Abdulswamad Nassir.
Mvita MP Abdulswamad Nassir.
Image: COURTESY

The Public Investments Committee of the National Assembly has started a probe into allegations of misappropriation of funds at Kemsa.

Members of the watchdog committee have sought specific responses from acting chief executive officer Edward Njoroge.

PIC chairman Abdulswamad Nassir (Mvita MP) invoked Standing Order 206 of the National Assembly which mandates PIC to examine the reports and accounts of public investments.

 

The rules provide that the committee is tasked with examining whether such investments are being managed in accordance with sound financial principles and prudent commercial practices.

The PIC has asked the CEO to provide the office of the auditor general with all documents related to the awards of tender for personal protective equipment.

The lawmakers have also demanded a list of companies that were awarded the tenders, details of the tendering process and particulars of the directors of each of the companies.

“We also want details of all monetary and equipment donations received by the state corporation from international donors for the fight against Covid 19,” PIC chairman Abdulswamad Nassir said.

He asked any agencies or persons who may have information on the matter under probe to share with the committee.

The PIC wants the agency to provide approval of the Treasury on the expenditure that has subjected Kemsa to Sh4 billion pending bills.

 
 

The Public Accounts Committee chaired by Ugunja MP Opiyo Wandayi on Tuesday issued a 60-day notice to the auditor general to conduct a forensic audit of the questioned expenditures.

The National Assembly Health committee chaired by Sabina Chege is equally looking into the matter with a focus on how funds from the Health ministry have been spent by agencies in the Covid19 warfront.

The joint Senate Health and ad doc committees chaired by Trans Nzoia Senator Michael Mbitho and his nominated counterpart Sylvia Kasanga are also probing Kemsa.

President Uhuru Kenyatta on Wednesday asked investigative agencies to provide a report of the investigations in 21 days.

The Kemsa management has declared it will cooperate with all the agencies looking into the alleged sleaze.

The acting CEO Njoroge told PIC and officers from the auditor general that the probe was welcome.

The government is under pressure to come clean on claims of misappropriation of Covid-19 cash, with a focus on Kemsa.

Suspended CEO Jonah Manjari is a person of interest in the investigations.He was suspended alongside commercial director Eliud Muriithi and procurement  director Charles Juma.

PIC is scheduled to meet the state corporation and the auditor general in the coming week.

The meeting followed a review of Kemsa audited reports for the 2017-2018 financial year. MPs sought specific responses from the CEO following allegations of misappropriation of funds at the agency.

Kemsa board chairman Kembi Gitura told the Health committee the tender documents were with the Public Procurement Regulatory Authority (PPRA).

“The authority requested for the original copies of the tender documents in line with Regulation 21(2) of the Public Procurement and Disposal Act Regulations of 2020,” the chairman said.

“We commit to provide the tender documents to the committee as soon as we get them back from PPRA.”

Edited by Henry Makori

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