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I won’t step aside over alleged NYS scandal, says Waiguru

08 July 2015, 10:56 Dennis Omido

Nairobi - Devolution Cabinet Secretary, Anne Waiguru has maintained that she will not step aside to pave way for investigation into the alleged scandal at National Youth Service (NYS).

Speaking during an interview on one of the local TV stations, Waiguru said she was the whistle-blower of the alleged scandal, therefore she cannot step aside.

“I am the one who called on the CID to investigate an attempted fraud at the NYS. I cannot step aside because I the alleged scandal is not directly linked to me,” Waiguru said.

The CS said the alleged scandal has been blown out of proportion by the media yet no money was stolen in the first place.

“No money was stolen, it was just an attempt to steal the money by an unknown individual. Corruption is in all ministries, but this one has been blown out of proportion,” Waiguru said.

Asked about the letter from the Central Bank of Kenya (CBK) questioning NYS payments, Waiguru said CBK only sent an email asking for the legitimacy of the transaction from her ministry.

“CBK only questioned payments that were being done to one company and that is normal with regard to the banks’ policy of Know Your Customer (KYC),” she said.

Read Also: CORD, Jubilee MPs fight during Waiguru debate

The ‘scandal’

According to the CS, NYS Senior Deputy Director Adan Harakhe’s password was stolen by someone who tried to make an illegal transaction.

“That person tried to make a fraudulent payment of KES 828 million. Another KES 133 million transaction was made to cover up the one that had been made earlier,” Waiguru said, adding that they have already received an interim report from the CID, who are carrying on the investigation.

“We will know the culprits when the final report will be released,” Waiguru said.

Waiguru also claimed that reports on the inflation of tenders at NYS had been exaggerated by the media.

“There is normal fluctuation when it comes to tenders at NYS, some are high while others are low but not as high as 30% as reported in a section of media,” Waiguru said.

She stated that government suppliers consider a lot of factors, including delayed payments when doing business with the government, hence a slight increase in prices.

“Food prices are also not fixed, sometimes there is a shortage making the price to go up,” Waiguru said.

However, the CS admitted that there could be some staff in the ministry who colluded with the owners of some companies during the award of supply tenders.

Read Also: Raila asks government to speed up NYS graft probe

“Four of the companies being investigated belong to same people, so they might have been a problem there,” Waiguru said.

She said the suspects were blocked from the system and cannot do any transactions until the investigation is complete.

“I cannot suspend them because I do not have those powers. They can only be suspended by the Public Service Commission,” Waiguru said.

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