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Senate summons Kemsa board over graft claims

Monday, August 24th, 2020 00:00 | By
Kemsa board chair Kembi Gitura is slated to appear before the Senate committee this morning. Photo/PD/FILE

Kenya Medical Supplies Authority (Kemsa) board has been summoned before a senate committee to respond to claims that its members were running a parallel procurement process.

The board chaired by former Murang’a Senator Kembi Gitura is expected  to appear before the  Ad Hoc committee on Covid-19 this morning to face queries from lawmakers.

Narok Senator Ledama ole Kina told People Daily that the committee also plans to call all the 71 suppliers who delivered Covid-19-related equipment in the controversial deal, which has rocked the authority prompting the probe.

“We are running against time and must dispense with this matter at the earliest time possible. After meeting the board we will call the suppliers,” said Ole Kina.

The senator said the committee plans to carry out a well-researched probe, which will unearth the real culprits of the scandal that has exposed  the level of graft in some government institutions.

“We are warning that even if the Director of Public Prosecutions fails to prosecute the culprits, the Senate will initiate private prosecution. We are not resting on this matter,” stated Ole Kina.

Opportunity to  loot

The matter has once again taken a political angle after Deputy President William Ruto in a tweet hit at the Raila Odinga-led Orange Democratic Movement(ODM) party over its position on the scandal.

“The pretentious (former) Opposition, now turned lords of corruption, attempted defence of the Covid-19 grand larceny is not shocking. It confirms the worst of Kenyan’s fears that their side of the Handshake was never interested in the people’s good but opportunity to loot. What a shame,” wrote Ruto.

Ruto was responding to a statement by ODM through Secretary-General Edwin Sifuna dismissing graft claims at Kemsa.

On Saturday, ODM said it was “disheartening to hear no less a senior government official than the Deputy President go public with a “juvenile and improper statement” about not being blamed for the mess.

Sifuna said the DP suggested it is okay for the funds to be stolen as long as he is not the one to blame.

“Even more unsettling (is that his remarks) express the jealousy of being left out of the gravy train,” Sifuna said.

Elgeyo Marakwet Senator, Kipchumba Murkomen a key Ruto ally, also responded to the ODM’s statement in an equally hard-hitting tweet, saying: “I understand why the delinquent ODM SG is ferociously defending the leeches who have sucked resources from desperate Covid-19 victims at Kemsa. First, ODM think they are more government than Jubilee. Secondly, four senior ODM members are the said ghost “suppliers.”

Donor funding

This comes even as foreign donors talked of withdrawing funds given to the country following the Covid-19 funds’ scandal.

The United States Agency for International Development (USAID) and the Global Fund have written to the government expressing concern over the alleged corruption. Global Fund gives Kenya Sh400 million annually to support HIV/Aids, tuberculosis and malaria programmes that are expected to run for the next three years.

Donors cited financial impropriety at Kemsa as well as management and implementation of the grants given to the institution.

On Friday last week, Dr Jonah Manjari, the suspended CEO of the agency failed to appear before the committee to explain alleged misappropriation of funds.

The committee was informed that Manjari was sick and had been admitted at the Kenyatta National Hospital.

A note from the hospital said the suspended Kemsa boss was admitted on Thursday last week and is receiving treatment at Ward 9B.

The committee, which is co-chaired by Senators Michael Mbito and Sylvia Kasanga had summoned the suspended Kemsa boss together with two other directors to explain the alleged irregularities in the procurement process of medical equipment.

It is alleged that double pricing from suppliers led to a Sh7.7billion loss of public funds. The Covid-19 scandal has also created an internal crisis at the supplies agency, which now stands to lose up to Sh.2billion as it struggles to dispose of Personal Protective Equipment over high prices.

Procurement mess

Kemsa is said to be unable to find buyers for the items that were allegedly purchased at inflated prices and now many of them could be about to hit their expiry dates. The agency is holding a stockpile worth Sh6 billion.

The board is seeking a green light from the Health Ministry to sell off the stock at market value of around Sh4billion to recoup its initial capital.

It seeks a re-capitalisation of Sh5 billion to cushion itself from the loss that would have been occasioned by such a write off should the Health Cabinet Secretary agree to it.

Kemsa has attributed the mess to the procurements that were allegedly done without its approval or that of the Health Ministry.

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