Health CS Mailu to face EACC over alleged Sh5bn loss

November 3, 2016 9:42 am
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Mailu will be expected to explain how the funds were spent during the last financial year after an internal auditor raised the red flag/FILE
Mailu will be expected to explain how the funds were spent during the last financial year after an internal auditor raised the red flag/FILE

, NAIROBI, Kenya, Nov 3 – Health Cabinet Secretary Cleopa Mailu will on Thursday record a statement with the Ethics and Anti Corruption Commission (EACC) over the alleged loss of Sh5 billion from the Ministry.

Mailu will be expected to explain how the funds were spent during the last financial year after an internal auditor raised the red flag.

The CS last week defended the expenditures, saying all audit queries have been answered to show that due process was followed in procuring and paying for goods and services.

Principal Secretary Dr Nicholas Muraguri was questioned Tuesday, a day after detectives spoke to the ministry’s internal auditor Bernard Muchere and the Chief Accountant.

A statement from the commission said more officials will be called for questioning as well as suppliers and other persons of interest in the matter.

“We called for and received part of relevant documents from the ministry,” EACC CEO Halakhe Waqo said in the statement, “more witnesses including the suppliers are lined up for interviews.”

The ministry has already dismissed claims that Sh5 billion was misappropriated in the 2016/17 financial year, instead saying only Sh3.5 billion was queried and answers have been given.

In a statement, the Health Ministry’s top officials said all the queries raised in the preliminary audit report had been settled, but pledged to cooperate with investigators to ensure Kenyans get to know the truth.

Mailu has dismissed calls to have him and the PS step aside to pay way for investigations, saying the matter is being addressed by all the competent authorities.

Mailu told journalists that no firms named in the Sh5 billion alleged scandal at the ministry were favoured, as claimed by Opposition leaders and activists.

He said all Kenyans have a right to transact business with the government unless there is direct conflict of interest as clearly stipulated by law.

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