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{
    "id": 737613,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/737613/?format=api",
    "text_counter": 120,
    "type": "speech",
    "speaker_name": "Hon. (Eng.) Gumbo",
    "speaker_title": "",
    "speaker": {
        "id": 24,
        "legal_name": "Nicholas Gumbo",
        "slug": "nicholas-gumbo"
    },
    "content": "vii. The National Assembly Standing Orders. viii. The Constitution of Kenya, 2010. The PAC strongly holds the view that these provisions of the law were intended to be fully applied to give effect to the high principles in Article 201 of the Constitution stated above to ensure prudent and responsible use and safeguard of public funds. The Committee has accordingly applied these provisions to recommend diverse recommendations, investigations and surcharging of various persons found to bear responsibility for breaches of the law and/or responsible for the loss or wastage of public funds. The Executive Summary of the Report is as follows. The Committee, in its own motion, requested for a special audit on the books of accounts of the NYS in the Ministry of Devolution and Planning from 2013 to date once the scandal came to public light. The Auditor-General’s report provided the basis for the Committee’s investigation and it revealed massive fraudulent activities including the loss of Kshs791,385,000, a further Kshs609,252,750.60 and an attempted theft of Kshs695,400,000, among other irregularities. On further investigations undertaken by the Committee, the Committee called for submissions from both the Principal Secretary, Public Service and Youth Affairs and the Director of IFMIS which revealed that the sum in question, which may have been misappropriated and needs to be further investigated by both the Directorate of Criminal Investigations and the Ethics and Anti-Corruption Commission (EACC) to the tune of Kshs23 billion for the entire Ministry, of which slightly over Kshs10 billion is directly traceable to the operations of the NYS (see the attached schedules). During investigations, the Committee interviewed several witnesses including the then officers in the Ministry and the NYS, current officials, business persons and persons of interest deemed to have information relevant to the inquiry. These interrogations unearthed even worse fraudulent activities with clear indications that procurement at the NYS was driven by patronage and cronyism. The Committee has reason to believe a huge part of the Ministry/NYS Development Budget was misused and recommends a detailed forensic audit of the entire budget of the Ministry and the NYS from 2013 to 2016. The Committee identified the theft as a well-orchestrated scheme starting from the exponential increase of the Ministry’s budget without absorption capacity ascertained by the deployment of Mr. Adan Gedo Harakhe to the NYS to a non-existent title of Senior Deputy Director General to oversee all operational matters. This led to a vicious tug of war between the old networks and the newly installed cartel, leading to exposure of the scandal. In his famous book Think and Grow Rich, the famous American author and motivator, Napoleon Hill, had this to say about human beings:- “Man with his superior sense of intuition, with the capacity to think and to reason, does not eat his fellow man bodily. He gets more satisfaction out of “eating” him financially. Man is so avaricious that every conceivable law has been passed to safeguard him from his fellow man.” “So eager is a man to possess wealth that he will acquire it in whatever way he can - through legal methods if possible, through other methods if necessary or expedient.” In one of her famous quotes, the late British Prime Minister Dame Margaret Thatcher had this to say:- “Being powerful is like a lady. If you have to tell people you are, then you are not.” The Committee finds that the then Cabinet Secretary, Ms. Anne Mumbi Waiguru was the driving force behind both policy and operations by micromanaging implementation of the Five- Point Vision Plan at the NYS. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
}