Health CS defends companies linked to alleged KSh5B ‘scam’

By KBC Reporters

The Ministry of Health will commission an independent auditor to look into the alleged 5 billion shillings at Afya House.

Health Cabinet Secretary Dr. Cleopa Mailu says the auditor will re-look into the allegations since some of the figures in the leaked auditor report may have been repeated or doubled.

However the Cabinet Secretary has maintained that no money was lost in the Health Ministry, insisting that companies mentioned in the report supplied the goods as agreed.

For instance Estama Investments which was paid 800 million shillings for the supply of 100 mobile clinics according to the CS delivered the 100 mobile clinics, 99 of which are still stored at a government yard in Mariakani.

He further said Estama complied with all tax regulations by providing the requisite tax compliance certificate as well as its pin certificate as required during the procurement process.

“We are not at a point where we have theft or fraud. Right now the figures are under scrutiny and thus we may not give all the correct figures now”.

He added “we have established so far that all expenditure under the Audit Report has been accounted for” noting that an over expenditure detected from the report was neither fraud nor theft of public funds.

Addressing a press conference, the CS promised to subject the over expenditure to an audit to see if funds were wasted.

“I will be appointing an Independent Auditor, a reputable organization to come and tell us if we are missing something.  We are open to audits, both private and public, to settle this matter” he stated.

He called for patience in the matter as investigations continue.

“I appeal to Kenyans to be patient and not rush into judgment. I will endeavor to answer all questions and I take the responsibility to do that using other investigative agencies”

At the same time Mailu has dismissed claims that some of the firms mentioned in the 5 billion shillings scandal were favored because of their connections to the President.

The Cabinet Secretary says all Kenyans have a right to transact business with the government unless it is a case of direct conflict of interest, as envisaged in the constitution.

As far as I am concerned anybody can transact business with any institution as long as there is no conflict of interest, and I have looked at the Public Ethics Act, I have looked at the Integrity Act of the Public Servants the extent to which we can define conflict of interest, those people who are doing business with the ministry they have a right to do so and I don’t see a conflict of interest,” he said.

The CS is set to have an interactive session with journalists to interrogate the report Monday at 3pm.

Elsewhere, Ruto says the opposition has coined corruption to create a narrative for the 2017 general election a move he said will not sell.

He said: “If we want to win the war on corruption let us fight corruption based on truth and facts and not political sideshows.”

The Deputy President said the opposition has been targeting Jubilee flagship projects with unsubstantiated corruption allegation citing the Standard Guage Railway, the digital literacy program, the Eurobond and now the free maternity program.

The DP was speaking in Kapyemit primary school, Turbo constituency.

Ruto sentiments came even as the Central Organization of trade unions  threatened to take legal action against those implicated in the allege health ministry scandal if the government fails to take tough action.

Acting Secretary General Benson Okwaro says the union is contemplating joining other organizations in seeking legal redress against key government officials implicated in graft.

Okwaro claim the Kenyan worker force has been paying taxes diligently and it is a mockery for a few to enrich themselves from the very sweat of Kenyans.

Okwaro took issue with the deputy president for downplaying the alleged health scandal claiming that government tenders are dogged with nepotism and favoritism