Audit: 10th Parliament spent CDF cash on campaigns

Auditor General Edward Ouko before a Senate committee in the past. [PHOTO: FILE/STANDARD]

Members of the last Parliament squandered some of the Sh17 billion from the Constituency Development Fund kitty through fraudulent deals, including political campaigns in their final year in office, the Auditor General has revealed.

An audit of the CDF for the 2012/2013 financial year shows how the kitty, shared among constituencies for grassroots development, was looted through irregular dealings.

The report says several projects under the fund in various constituencies stalled despite full payment of contracts while others had been awarded in violation of procurement laws. Other issues raised include unauthorised expenditure by various CDF committees, hence the auditor could not authoritatively ascertain if the funds were prudently spent.

But in some instances, the report, which was tabled in the National Assembly last week, singled out blatant cases of wasteful spending of public funds.

In Tigania East constituency, the Auditor General cited the use of the cash for apparent political campaign activities among serious accountability and breach of regulations. The report says Sh1.55 million withdrawn from the CDF account was used to procure services of preparing a documentary in form of DVDs and magazines. “Clearly, the message in the magazine was a campaign tool, implying CDF funds were utilised to fund political activities,” the report concludes especially since it was an election year.

Sh44million spent by Kiharu CDF team on various projects could not be established after it failed to avail payment vouchers, bank statements, invoices and procurement documents for audit.

The report also flagged allocation of Sh2 million for completion of unoccupied CDF offices after rent had been paid for an office in Muranga town. Questions have been raised over Sh1.9 million from Kisumu Town East project paid to Wandiege Dispensary through Kuoyo Unit Development Group. The funds were meant for construction of a septic tank, a soak pit and finishing works.

Instances of poor planning led to the loss of Sh2 million in Kuria West after the CDF committee contracted purchase of X-ray facilities despite the unsuitability of the building to host the facilities.

The auditor also raises doubts over Sh52 million disbursed to community-based organisations (CBOs) in Starehe Constituency to implement development projects. According to the report, the CBOs were being managed by project management committee members who are in charge of approving CDF funds use.