The government is on the spot again after a scandal involving the Sh21 billion Kimwarer and Arror dams resurfaced.
The dam scandal has taken a new twist after an audit report questioned the advance payment of Sh4.2 billion paid for the construction of the Arror Dam.
According to the office of the Auditor-General Edward Ouko there are no documents to support the advance payment. The government cannot account for the Sh.4.2 billion out of Sh.4.5 billion received from the proceeds of foreign borrowing.
It emerged that the said amount was paid to Italian Firm CMC Di Ravenna-Itinery JV but a spot check shows that nothing has been done so far. While tabling the report in parliament, Ouko said that he is concerned with the fact that the amount was paid but no records to show the same.
He also said that the team tasked with the project has not provided his office with a report on the environmental analysis yet the money is nowhere to be seen. The audit also said that the Kerio Valley Development Authority (KVDA) has not approved the payment but it was made under unclear circumstances.
“The advance payment claim certificate equivalent of Sh4.2 billion that was used for payment was not dated, had not been recommended by the KVDA general manager - technical services, and was not approved by the chief executive officer of KVDA,” reads part of the report.
Ouko also questioned why the Kenya Forest Service (KFS) has remained silent yet it had been approached to cede a section of the forest land for the project in question. Ouko has now put the team tasked with the project on the spot to shed more light on the same.