HTTP 200 OK
Allow: GET, PUT, PATCH, DELETE, HEAD, OPTIONS
Content-Type: application/json
Vary: Accept
{
"id": 196126,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/196126/?format=api",
"text_counter": 68,
"type": "speech",
"speaker_name": "Mr. Twaha",
"speaker_title": "",
"speaker": {
"id": 145,
"legal_name": "Yasin Fahim Twaha",
"slug": "yasin-twaha"
},
"content": "Mr. Deputy Speaker, Sir, I beg to move:- THAT, this House adopts the Reports of the Public Accounts Committee on the Government of Kenya Accounts for the years 2002/2003 and 2003/2004 laid on the table of the House on 22nd, April, 2008. Mr. Deputy Speaker, Sir, on behalf of the Members of the PAC, I wish to take this opportunity to present to the House the Reports and recommendations of the Committee on the Reports of the Controller and Auditor-General together with the Appropriations Accounts, other public accounts and the accounts of the funds for the years 2002/2003 and 2003/2004. Mr. Deputy Speaker, Sir, this House mandated the Committee to examine the reports of the Controller and Auditor-General on the accounts of Ministries and departments with a view to scrutinising all areas of Government expenditure as well as the use thereof, and very importantly on how effectively, efficiently and economically the Government appropriates the amounts voted by the House, and whether the funds voted by the House are used for the purposes intended, or otherwise, and, more importantly, whether the said funds are spent in accordance with the laid down financial regulations and procedures. As explained by my predecessor, Mr. Ekwee Ethuro, and borrowing from the previous Committees, the Committee saw the need to be up-to-date and scrutinise current reports. It, therefore, resolved to deal with the two Reports of the Controller and Auditor-General together with the Appropriations Accounts, other public accounts and accounts of the funds for the years 2002/2003 and 2003/2004. In a similar spirit, the incoming Committee should also endeavour to do the same. Mr. Deputy Speaker, Sir, allow me to thank the members of the Committee for their efforts, commitment and exemplary performance in ensuring the successful production of these Reports. Let Kenyans not forget that the PAC Members spend much of their precious time, sometimes at the expense of the constituency work, in getting evidence and making reports as part of the PAC work; they do not get much publicity, as sittings are held in camera. However, the PAC Members are more than willing to assist the Kenyan public in the fight against mis-appropriation of funds in particular and corruption in general. Mr. Deputy Speaker, Sir, the Committee commenced its sittings on the 16th of June, 2006 and held 77 sittings. The Committee noted that most of the queries contained in the 2001/2002 Report were also in the Report of 2002/2003 Financial Year. Similarly, most of the queries contained in the 2002/2003 Report were also in the Report of 2003/2004. Mr. Deputy Speaker, Sir, the Committee found contradictions between the information provided by the Accounting Officers and the Controller and Auditor-General The Committee undertook inspection tours, that is physical verification tours, of the projects in question in order to obtain firsthand information on their status, and establish whether the Government got value for money spent on those projects. The tours included one to the Hola- Garsen-Malindi Road, verification of the irregular allocation of Government land at the Kenya Veterinary Vaccines Production Institute (KEVEVAPI), improvement and construction of Olenguruone-Kiptagich Road and a visit to the Ministry of Lands headquarters in relation to grants to the Settlement Fund Trustees dealing with the accounting system. April 23, 2008 PARLIAMENTARY DEBATES 623 Mr. Deputy Speaker, Sir, the Committee also toured the Kenya Ferry Services (KFS) to investigate the acquisition of land there. The Committee also visited Finland, one of the least corrupt countries in the world, in order to apprise itself of how to deal with corruption matters in the country. The observations and recommendations of the Committee on the projects visited are contained in the specific audit queries. Mr. Deputy Speaker Sir, all recommendations made by the Committee were arrived at by consensus after very thorough, objective and constructive deliberations. There was careful scrutiny of evidence and submissions received as well as information received during the inspection tours made. The Committee urges this House to adopt the recommendations. It also requests the Government to implement them without fear or favour. Transparency and accountability should be encouraged in all the Government institutions to ensure that corruption is eradicated in Kenya. When corruption ceases to exist in Government institutions, it will be easy to root it out in private enterprises. The Committee noted that if all Accounting Officers had adhered to the laid down financial regulations and procedures, most of the audit queries would not have a arisen in the first place. The following are general observations of the Committee. The Committee held a meeting with the Head of Public Service and Secretary to the Cabinet together with the Accounting Officers of Government Ministries and Departments to demystify their operations. On the responses of the Accounting Officers, the Committee noted that most of them do not take the work of the Committee seriously. On many occasions, Accounting Officers appeared before the Committee unprepared. This derailed the work the Committee. This is a very technical Committee that requires either experience or background knowledge in the field of accounting, public finance, economics et cetera . From my personal experience, I would like to request the political parties concerned to consider such practice when constituting the Committee. Otherwise, witnesses, who are mostly technical officers, may get away with crucial information on misappropriation or corruption. You will recall that part of the Anglo Leasing Scandal relating to the forensic laboratory under the Office of the President could only be unearthed after careful scrutiny by the Committee. The Committee also noted with grave concern the inordinate delay by the Accounting Officers in availing documents to the Controller and Auditor-General as required by law. Accounting Officers, have over the years, continued to ambush the Committee and auditors with audit responses at the evidence stage instead of providing information in advance, thereby denying the Committee prior preparation. This habit should stop. On public debt, which is contained in paragraph 22 of 2003/2004 Report, the Committee deplored the manner in which special Treasury Bonds worth Kshs7,473,056,211.95 were issued to contractors to clear pending bills without seeking parliamentary authority and recommends that the Permanent Secretary, Treasury, should be held responsible for consequences thereof. The Committee further recommends that the Permanent Secretary, Treasury, should ensure that public debt is relative to the Gross Domestic Product (GDP) of Kenya. The Permanent Secretary, Treasury, should put mechanisms in place in order to avoid excessive domestic borrowing and instead go for concessional or external borrowing. Mr. Deputy Speaker, Sir, on advances for Civil Contingencies Fund, Paragraph 5 of 2002/2003 Report, the Committee noted that the Civil Contingencies Fund was created for the sole purpose of funding urgent and unforeseen expenditures for which no provision existed in the Approved Estimates. The Committee was informed that an advance of Kshs130 million was granted to the Ministry of Tourism and Information for coverage of 2002 General Elections. The advance was regularised through Supplementary Estimates. 624 PARLIAMENTARY DEBATES April 23, 2008 Mr. Deputy Speaker, Sir, an advance of Kshs100 million was also granted to State House to replace several Presidential motor vehicles which had broken down. The advance was regularised through Supplementary Estimates. The Committee expressed concern that both the general elections and the need to replace broken down vehicles were foreseen and they should not have used funds from the Civil Contingencies Fund. The Committee recommends that the Permanent Secretary, Treasury, must always ensure that advances from Civil Contingencies Fund are made only for expenditures of a contingency nature. On the acquisition of land by the Kenya Ferry Services (KFS), the Committee made an inspection tour of the land and noted that there was no satisfying title of the said land that indicates the historical ownership of the land and the subsequent transfers thereof. The Committee could not rule out that the land initially belonged to the Government, but the seller surfaced midway, claimed ownership of the same piece of land and sold it back to the Government. Mr. Deputy Speaker, Sir, the Committee recommends that the Accounting Officer should liaise with the Director, Kenya Anti-Corruption Commission and immediately institute investigations with a view to taking disciplinary action against the officers involved in this questionable transaction. The Committee also recommends that the Accounting Officer must ensure that all the outstanding matters relating to the piece of land are concluded by 31st December, 2007, which appears to be a bit late."
}