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Auditor-General feels the heat over Kemsa scandal report error


Economy

Auditor-General feels the heat over Kemsa scandal report error


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Auditor General Nancy Gathungu. PHOTO | LUCY WANJIRU | NMG

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Summary

  • The National Assembly’s Public Investments Committee (PIC) raised the red-flag after Nancy Gathungu’s office wrote to Parliament correcting errors in the amount of cash paid to Nanopay Ltd and Shop ‘N’ Buy Ltd.
  • PIC chairman Abdulswamad Nassir drew the attention of the committee to an addendum reducing payments to Nanopay Ltd from initial amount of 340,975,000 to Sh34.9 million on account of “tying error.”

The Auditor-General’s office is on the spot over errors in the special audit on the procurement of Sh7.8 billion Covid-19 related items by Kenya Medical Supplies Authority (Kemsa).

The National Assembly’s Public Investments Committee (PIC) raised the red-flag after Nancy Gathungu’s office wrote to Parliament correcting errors in the amount of cash paid to Nanopay Ltd and Shop ‘N’ Buy Ltd.

PIC chairman Abdulswamad Nassir drew the attention of the committee to an addendum reducing payments to Nanopay Ltd from initial amount of 340,975,000 to Sh34.9 million on account of “tying error.”

“We wish to clarify an error occurring on page 18 and 41 relating to of Nanopay Ltd and Shop “N” Buy,” read a letter accompanying the addendum.

The auditors who appeared before the committee yesterday could not explain the error they sought to correct on the amount of money paid to Shop ‘N’ Buy Ltd.

“For Shop “N” Buy, I will have to consult on what the error is,” an auditor said during interrogation before the committee.

Mr Nassir directed the auditors to furnish the committee with a detailed write-up on how the errors may have occurred during the compilation of the special audit on the procurement of Sh7.8 billion Covid-19 items.

“You have changed figures for Shop “N” Buy and we need to know what it is that you are changing,” Mr Nassir said.

Likoni MP Mishi Mboko, Mary Wamaua (Maragua) and Tom Kajwang (Ruaraka) pushed the auditors present to explain how the special audit could have errors.

“We can’t buy an error occurring from the auditors. This is suspicious,” Ms Mboko said.

“What a coincidence. The auditor wishes to correct an error relating to Nanopay and Shop “N” Buy. How come this two companies have errors on the amounts paid? We need to see all Local Purchase Orders (LPOs) and other documents,” Ms Wamaua said.

Mr Kajwang said whether there is an error or not, PIC will reconcile the amounts with what auditor says and what the witness say when Nanopay appear before MPs so that the committee knows where the error occurred from.



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