MPs want DCI, EACC to probe key ministries for funds misuse

MPs now want government agencies that misappropriated public funds investigated and those found culpable prosecuted, according to a parliamentary report.

The report by the Public Accounts Committee (PAC) of the National Assembly followed examination of one by the Auditor-General on the accounts of the national government for financial year 2015/16.

It was tabled in the National Assembly on Wednesday and awaits consideration by legislators.

MPs say that within three months of the adoption of the report, the Directorate of Criminal Investigations (DCI) and the Ethics and Anti-Corruption Commission (EACC) should initiate thorough and conclusive investigations into blatant misuse of public funds.

The recommendations of the watchdog committee chaired by Ugunja MP Opiyo Wandayi come as President Uhuru Kenyatta’s administration promises to deal with the rampant corruption in the public service.

POLICE INSURANCE

Among ministries the committee has flagged for investigations are Health, Interior, Devolution and Public Service.

Principal Secretaries are the accounting officers in ministries.

In the Interior ministry the PAC wants individuals probed on the irregular award of the Sh3.5 billion comprehensive group insurance cover for police and prison officers.

Pioneer Assurance Company was awarded the tender against Britam's bid of Sh629 million.

Britam was considered unresponsive because the form of tender was not duly completed as required. In addition, the capacity or position of the signatory in the organisation, and the name of the authorised signatory, were not indicated.

NO DETERMINATION

However, when he appeared before the committee, former Interior Principal Secretary Mutea Iringo defended the decision not to award Britam, which would have qualified as the lowest bidder. 

In its 2014/15 report, the committee had sought to have former Interior PS Monica Juma, now Foreign Affairs Cabinet Secretary, reprimanded for introducing a new criteria in the award.

However, the report exonerated her after it was determined that she was not the accounting officer at the time.

“It has not been possible for the committee to make a determination on whether the process, in totality, was irregular or not. The committee, therefore, directs the relevant investigative agencies to initiate thorough and conclusive investigations into the matter and make appropriate recommendations,” the PAC report says. 

PORTABLE CLINICS

The report also wants the EACC to conclude investigations on the irregular procurement of Sh800 million for portable clinics.

The clinics were paid for before they were installed, commissioned and handed over, contravening the contractual agreement.

The Health ministry is also on the spot over the Sh4.6 billion used to rent medical equipment.

Over Sh42.6 billion has been spent on the equipment so far though the procurement, contract and progress report documents and the Attorney-General’s legal opinion on the contracts have never been made public.

E-CITIZEN

In the Devolution ministry, the report wants the DCI to probe the person who was responsible for the accounting office at the time Sh6.7 billion was paid for goods and services without supporting documents.

The committee also wants the Auditor-General to undertake a special audit of the E-Citizen platform to establish how much money has been collected since inception.

There is also need to establish how much revenue has been remitted to government agencies using the platform for service delivery.

Possible factors contributing to non-remittance will also be investigated as the issue has been recurring.