How CDF Funds Have Been siphoned Through Unexplained, Stalled projects – Audit Report.
A report by the Auditor-General revealed that school buses purchased with constituency development funds cannot be traced, and others lack logbooks.
Audit reports on the National Government Constituency Development Fund (NGCDF) for the fiscal year ended June 2020, tabled in the National Assembly by Majority Leader Amos Kimunya, reveal how MPs’ cronies siphoned money from the fund.
Although MPs do not sit on CDF committees, they do have a greater say in selecting the team that manages the fund. This allows them to appoint friends, including spouses, to manage the fund.
MPs receive approximately Sh140 million in CDF each year, and Butere MP Tindi Mwale has introduced legislation to double the amount.
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Auditor General Nancy Gathungu noted that Sh8 million was spent in Embakasi North to purchase school buses that would be fully paid for by November 2020, but ownership documents were not provided for audit.
According to the audit report, the buses were not physically verified. The existence of the buses and the value for money for the expenditure could not be confirmed under the circumstances.
The area’s MP is Mr James Gakuya. The report, however, did not specify the number of buses or the schools to which they would be assigned.
Another report for Kitutu Masaba tabled in Parliament stated that Sh22.4 million was spent on purchasing school buses, but no ownership documents were made available for audit or delivered to the schools.
Shadrack Mose is the local MP.
Sh22.3 million was spent in Kabuchai on the purchase of three school buses and five acres, but only two of the buses have a logbook.
According to the report, one of the buses’ logbooks were not provided for audit, so the bus’s ownership could not be verified. Ms Gathungu also claims that the title deeds for the five acres are not auditable.
Majimbo Kalasinga is the area’s MP.
The auditor has called into question a Sh15.9 million contract for the renovation of a classroom, an administration block, and a toilet at Bondeni Primary School in Embakasi Central.
Signed tender opening documents, copies of advertisements, appointment letters for the tender opening committee, contract evidence of engagement of relevant government ministries, minutes of evaluation committee, signed professional opinion, and evidence that the contractor was on the National Construction Register were not provided.
As a result, Ms Gathungu concludes that the contract’s validity cannot be determined.
Misuse of public resources
Misapplication of public resources was also exposed in Nakuru Town East, where Sh1.9 million was used to purchase tree seedlings for distribution to schools but the list of recipients could not be obtained.
In Awendo, Sh17 million is missing due to a contract variation in the construction of the Kenya Medical Training College in Awendo and the Awendo police division headquarters.
According to Ms Gathungu, the contractor terminated work after pocketing Sh10 million. A new contractor was hired for Sh55 million, up from the initial cost of Sh39 million.
Ten million shillings
As a result, the Auditor concludes that the Sh10 million paid to the first contractor cannot be confirmed.
The auditor chastised the management of the police headquarters for starting construction without first confirming ownership of the land.
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As a result, a person has gone to court to claim ownership, causing the work to be halted after the Sh7 million was paid.
Jayne Kihara represents Naivasha, where Sh18.6 million meant for bursaries was not supported by any schedules.
“The regularity and value for money amounting to Sh7, 100,000 could not be confirmed,” reads the report.
The MP is Walter Owino
Sh 8.6 million transferred to primary schools in Mandera East constituency cannot be traced because bank statements were not provided for audit review by the project management committee.
Furthermore, tender documents for this transfer were not signed by the tenderers, and payment records revealed that payments were made before certificates of completion were issued.
In the circumstances, the validity of the Sh8.6 m
illion transfer to primary schools cannot be determined as per the audit report.
Omar Mohammed represents the area.
The irregular use of public funds continues in Jayne Kihara’s Naivasha constituency, where a total of Sh18.6 million meant for bursaries was not supported by any schedules.
This means that neither the list of beneficiaries nor the names of the schools where the money was allegedly disbursed were provided to the auditors for verification that the amount awarded as bursaries was indeed the amount awarded.
The same issue has arisen in Borabu constituency, where the auditor has questioned Sh18 million in bursary funds. Secondary schools were to receive Sh6 million, while tertiary institutions were to receive Sh12 million.
However, according to the report, the expenditure was not accompanied by any acknowledgement from the beneficiary schools and institutions.
Under the circumstances, the Audit report states that it was not possible to ascertain whether the bursaries totaling Sh18 million benefited the intended beneficiaries and were expended as appropriated.
Ben Momanyi is the Member of Parliament.
Ms Gathungu says in the report that no details of the projects were provided for audit review in Tiaty constituency, where Sh3.3 million is marked as spent on emergency projects.
William Kamket is the Member of Parliament.
The nature of the emergency, minutes of project management committee meetings, expenditure returns, and monitoring and evaluation committee reports were not provided, according to the auditor.
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In addition to other constituencies misusing their allocations, Kinangop constituency has an under-absorption of their budget, as the report indicates that a total of Sh51.4 million was not used and no reason was given.
As a result, Kinangop constituency residents did not receive the anticipated services, according to the CDF Funds audit report.
How CDF Funds Have Been siphoned Through Unexplained, Stalled projects – Audit Report
