August 21st 2017

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Auditor General’s report confirms loss of NYS billions

A special report by the Auditor General has confirmed allegations that the National Youth Service lost more than one billion shillings through fraudulent procurement.

By Sandra Onindosonindo@kenyafreepress.comWednesday, 08 Jun 2016 11:31 EAT

A special report by the Auditor General has confirmed allegations that the National Youth Service lost more than one billion shillings through fraudulent procurement.

At the centre of the corrupt deals are companies associated with Josephine Kabura Irungu, former Cabinet Secretary [CS] Anne Waiguru’s hairdresser who has since fallen out with Waiguru and revealed in court documents that the CS used her as a front to do business with NYS, which was  then under the CS's watch.

The special audit report shows that the amount of money lost in the NYS scandals was nearly KSh1.9 billion. Among other findings, the report reveals that KSh218 million was paid to one of Kabura’s companies, Form Home Builders, five months before the company was even registered.

Form Home Builders together with two other Kabura-owned companies, Reinforced Concrete Technologies and Roof and All Technologies, played major roles in the NYS scandal. In total, Kabura received KSh1.3 billion through 11 organizations that conducted business with the NYS and was to receive further Sh675.4 million, but the scandal was unearthed before the transaction went through.

Auditor General Edward Ouko’s report wants all companies, businesses and suppliers named in the scam barred from conducting any form of trade with the government and prosecuted for the roles they played in the  swindle.

Sandra is a staff writer at the Kenya Free Press specializing in news, health and lifestyle coverage.





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