Officers at four state agencies could be subject of
anti-corruption investigations over massive impropriety and procurement
irregularities committed during President Uhuru Kenyatta’s era.
A new report by the National Assembly’s Public Accounts
Committee has exposed wide-ranging irregularities that stand to haunt top
managers of the cited agencies – former and current.
MPs, in the report covering the financial year ending June
30, 2022, want the Ethics and Anti-Corruption Commission to dig deeper into the
alleged infractions.
The lawmakers also want a number of officers reprimanded and
disciplined for the lapses noted in the queried expenditures.
Among agencies adversely mentioned in the report tabled in
Parliament recently include the Fisheries Department over payments made in the
construction of Liwatoni tuna fish hub.
An audit flagged expenditure of Sh1.6 billion; Sh1.1 billion
for construction and Sh500 million for other expenditures related to the tuna
fish hub.
The query followed after the fisheries department failed to
provide user requisitions, feasibility study report, bill of quantities,
technical drawings and environment impact assessment reports.
Auditor General Nancy Gathungu said it was impossible to
confirm whether the project cost was realistic, hence cast doubt on whether
there was value for money, especially on the Sh500 million for the tuna fish
hub.
The department explained that the documents were at approval
stage at the time of audit, a statement MPs dismissed.
The Butere MP Tindi Mwale-led committee said the matter has
been a subject of public notoriety.
“The committee recommends that the EACC expeditiously
conducts investigations into the entire project,” the committee said in the
report.
The Sh1.4 billion project is yet to be completed. Also under
investigation is the propriety or lack of it of Sh2.8 million the department
reported as spent on stocking unspecified dams and fish ponds.
MPs said the explanation by the accounting officer was not
satisfactory as the fingerlings were delivered one year before a professional
opinion on the procurement was given.
“The committee recommends that the EACC expeditiously
conducts investigations into the matter and that the accounting officer
surcharges and initiates disciplinary action on those involved,” PAC said.
The panel said value for money could not be ascertained as
there was no mechanism to track the maturity and harvest of fish.
MPs also want the investigative agencies to go after and
conclude investigations targeting officers behind the loss of Sh34 million at
the Molo law courts.
The committee has also ordered civil recovery of similar
losses (of unspecified amounts) at Embu, Nakuru and Malindi court stations.
Treasury officials behind the procurement of consultant in a
project to promote youth employment and vocational training in Kenya have also
been cited in the report.
The lawmakers want the EACC to investigate the award of the
tender valued at Sh446 million after it emerged it was awarded before a
financier was identified.
PAC said there is no reason to outsource the procurement to
an agent who was based in Germany.
The consultant was identified by the German Development
Bank.
MPs said the financing agreement was skewed in favour of
Germany, citing the fact the winning bidder was from the country.
Evidence of shareholding of the local implementing company
by the winning bidder was not availed, with MPs arguing it may have been a mere
vehicle to secure the tender.
“The committee recommends that the EACC conducts
investigations into the procurement,” PAC said.
EACC has also been invited to look into variations that were
noted in the construction of a fire station and street lights in Lodwar town.
The committee dismissed claims by the Kenya Urban Project
management that the contractor had compensated for the losses from the
variations.
“The committee noted that the purported compensation by the
contractor was unauthorised and irregular,” MPs said.
MPs also want EACC to look into circumstances under which a
trailer went missing at a project rolled out by Kisumu county.
Audit verification of the assets revealed that no
explanation was provided for the anomaly.
At least Sh10 million was unaccounted for and MPs now want
the EACC to conduct investigations on the payments and take necessary action.
Also to be investigated is Sh11 million which was incurred
on purchase of assorted office items, farm equipment and electricity services
at Muhoroni Milk Plant.
Procurement documents supporting the purchase of farm
equipment were not provided for audit.
