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CEO conspired with Quorandum to loot KES 180M from Youth Fund

09 March 2016, 11:05 Samuel Kisika

Nairobi – The probe into KES 180 million lost from the Youth Enterprise Development Fund (YEDF) by a parliamentary committee has revealed that the Fund’s suspended CEO, Catherine Namuye colluded with Quorandum Limited to loot.

Quorandum Managing Director Mukuria Ngamau who appeared before the National Assembly Public Investment committee said his company got the tender to design a comprehensive ICT strategy and Enterprise Resource Planning (ERP) for the Fund through the CEO’s sole approval after the duo met in May 2014 and signed the contract in November 2014 after a series of discussions.

Committee members raised concern on how Quorandum, a firm that specializes in construction, telecommunication and ICT consultancy and project roll-out irregularly secured the YEDF multi-million tender whose value for money cannot be accounted for.

Read Also: MP: Media covering up huge scandals in government

It was noted that Namuye breached the Public Procurement and Disposal laws by awarding Quorandum the contract without involving the Fund’s board and adhering to the laid down tendering processes that require openness and competitiveness.   

“The CEO was the only contact person for our contract engagement at the Fund. We were not issued with the completion certificate for the services rendered,” said Ngamau.

The MPs took issue with how the payment of KES 180 million was done within a month after the signing of the agreement and questioned why Quorandum was to keep the contract confidential yet the ICT project was to benefit the public, although Ngamau pointed out that the directive was from the Fund’s CEO.

“As discussed, this is highly sensitive project and we expect utmost confidentiality in regards to any information shared for purposes of informing the project works undertaken,” read a letter from Namuye.

However, further revelations by Ngamau that he send KES 115 million of the total amounts received from the Fund to Quorandum’s lead company ERP Consultant Specialist, Donnie Collins Reeves, which the committee suspected was a fraud.  

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