Auditor faults NMS over Sh32 million withdrawal
Wednesday, March 17th, 2021
Auditor-General Nancy Gathungu has recommended that the Ethics and Anti-corruption Commission (EACC) investigates and takes action on officials of the Nairobi Metropolitan Services (NMS) over irregular withdrawal and possible loss of Sh32.38 million meant to fight Covid-19 pandemic.
The Auditor also questioned the whereabouts of Sh180.07 million raised to aid in the fight against the virus as she flagged irregular direct procurement by the agency.
NMS, the entity that took over key function of city hall, including Health, irregularly withdrew Sh32.38 million from KCB-imprests account reportedly for facilitation of health workers on Covid-19 rapid response activities.
“The management could not explain the basis of the facilitation, authority to pay facilitation and expenditure could not be supported,” the auditor’s report reads in part.
The money was withdrawn at the height of the pandemic on June 30, 2020 allegedly for payment of facilitation of health workers on Covid-19 rapid response activities.
“Further investigations [should] be conducted to establish any criminality,” the auditor recommended in her report on the special audit on the utilization of Covid-19 funds.
The auditor could also not establish the whereabouts of some Sh182.07 million donated by Danish International Development Agency (Danida) and county’s own generated revenue to boost the war against the infection.
“However, we could not establish where these funds were received and whether they were transferred to the respective health centres. This is because the county management did not provide relevant documents,” reads the report.
Citing Controller of Budget Margaret Nyakango’s special report on Covid 19 funds released last year, Gathungu said that City Hall and NMS received Sh17.60 million as Danida funds and Sh164.47 million as own source contribution funds.
“The special audit could not establish whether DANIDA funds were received and utilized at the NMS or at the county government since neither of the two entities availed relevant documents,” it says.
The report shows that NMS received a total of Sh 294.38 million from the National government to fight the pandemic.
As at July 31, 2020, the NMS had incurred expenses of sh 97.32 million which included procurement and payment of facilitation of health workers
The money excludes the county’s own source revenue and Danida funds pumped into the fight against the virus.
Major-General Mohamed Badi-led agency was also put to task for dishing out a Sh64.93 million tender for design and maintenance of the makeshift isolation center to University of Nairobi Enterprise Services (UNES) through single sourcing.