The controversy surrounding graft-hit Youth Enterprise Development Fund (YEDF) yesterday took another twist after it emerged that more than Sh350 million had been lost through corrupt deals.
National Youth Council (NYC) averred a nexus of corruption guarded by senior officials of YEDF board, has been defrauding the youth kitty of millions of shillings through corruption.
This according the council has been done through irregular award of tenders and misappropriation of youth funds monies to fraudulent banks accounts. For instance, NYC alleged that Sh150 million was fraudulently transferred to INDO Africa Finance Ltd in disguise of payment a credit guarantee scheme.
The council alleged a payment voucher NO: P6739 was made for disbursement to INDO, a credit guarantee scheme provider signed by now suspended CEO Catherine Namuye. INDO Africa had allegedly written to the Namuye requesting that the money be banked at its account at the African Banking Corporation Ltd to bank to Equity Bank.
“This illustrates that the monies were being directed to another account rather than the one initially specified,” said NYC chair Nairobi Edward Githaiga. He said the transfer of the cash was inconsistent with the financial payment procedures and with YEDF Board Security as had been directed the board.
NYC has also brought to the fore irregular awarding of an egg incubator tender valued at Sh208 million. The company awarded is alleged to have delivered faulty incubators which deliberately not tested on the delivery.
“The general manager in charge at the time proceeded to, and paid the suppliers of the goods well knowing that the goods were faulty,” said Githaiga.
The said incubators are according to him stored at Kasarani Stadium, having not been distributed because of their hitch. The chair also said another tender for installation of greenhouses with drip irrigation kit — YEDF/2014-2015—was irregularly awarded to a firm called Smart Solutions Africa.
The company is said to have, after being awarded the tender, updated its website portraying that it also has interest in agriculture. “We further found that its main areas of business was human resource consultancy and marketing agency services for manufactured products as those found in supermarkets,” added Githaiga.
The aforementioned firm apparently edged out a more qualified and well-known Israeli Kenyan based company with experience of over 50 years. Githaiga said the only reason the Israeli firm did not win the tender was that of failing to participate in corrupt acts that involved bribing YEDF Procurement Committee. The youth council has now called on President Uhuru Kenyatta to overhaul the entire YEDF management board to tame corruption in the fund.
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