Parliament picks taxpayer’s pocket — again

Finance minister Njeru Githae persuaded MPs to drop their quest for interest rate caps after offering them a gratuity of Sh3.72 million each payable at the end of their five-year term.

This means the taxpayer will cough up Sh833 million as the MPs agreed to drop the much-maligned “winding up allowance” of Sh1.5 million for better perks.

On Thursday night, the minister hushed up the amendment, hid it from backbenchers pushing for banks to be tamed and dropped it on the floor of the House at the eleventh hour.

He sneaked in the amendment hours after banks hosted some MPs to a lavish lunch at which, it was alleged in the House, they were given Sh50,000 each.

A shocked Ms Millie Odhiambo (nominated), who revealed the Sh50,000 lunch, asked why even the backbenchers were not allowed to look at the amendment.

“While I believe MPs are entitled, I will not be party to unfairness to this country. MPs have refused to reduce interest rates for the public, but when it comes to our own things, we are very quick and sneaky,” said Ms Odhiambo.

But hers was a lone voice because when the matter was put to the House, it was overwhelmingly approved.

The MPs also approved a Sh2.4 million per year payment for the Deputy Speaker and members of the Speaker’s Panel, plus Sh1.2 million per year for members of the Parliamentary Service Commission, as “responsibility allowance”.

The Deputy Speaker will be smiling all the way to the bank as he is likely to pocket Sh10 million because the payment has been backdated to 2008 when he began his term.

Appears illegal

Some former MPs are also likely to benefit because the amendment pushes the changes as far back as January 1, 2006.

The move, engineered by the Treasury and backed by the MPs, on the face of it appears illegal given that the Constitution gives the mandate of deciding pay and gratuity, and all emoluments, to the Salaries and Remuneration Commission.

In Parliament, it was a quick deal. Mr Githae introduced the amendment; Ms Odhiambo asked where it was, but she was verbally dismissed.

Then temporary Deputy Speaker Philip Kaloki put the matter to the vote and it was agreed to.

It took less than five minutes.