PIC chairman says the AG is a stumbling block to reforms

Gakuu MathengeThe Public Investments Committee (PIC) has just exposed more evidence of rot, gross indiscipline and ravenously predatory instincts of the Civil Service fat cats. The 16th PIC Report, released on Wednesday, last week, chronicles cases of inefficiency, conniving, collusion, and thieving. Kenya has 165 parastatals, and PIC’s mandate is to interrogate their archives, accounting and audit queries raised by the Auditor and Controller-General. Poring through the PIC report it is evident people listed in previous accounts are still roaming the streets. PIC chairman Mithika Linturi in an interview speaks out on whether it were worth any effort or taxpayers’ money.Re-elected PIC chairman Mithika Linturi.ANSWER: You are right. The management of public organisations is awash with pilferage, fraud and theft. If Government does not act to correct it urgently, it will bring down many organisations. The Government should explain why many parastatal CEOs are still in employment, and not in jail, when they are spending only 20 per cent of their budgets on their core mandates, and the rest in schemes and projects only designed as conduits to pilfer taxpayers’ money. The impunity with which CEOs and their boards distort project funds and budgets, some with as much as 600 per cent, without re-tendering is shocking. Some have turned parastatals into family goldmines. There is a case at Kenyatta National Hospital, where a relative of a senior official is paid Sh11 million in as downpayment for a project worth Sh15 million. Nothing else was executed after the money was collected.QUESTION: When do these things happen when there are boards of directors and ministers as political heads to watch over things?ANSWER: The Government should move with speed to improve the capacities of corporation boards. Many directors do not seem to have an idea of what is going on, or are compromised by management. The Government bears the biggest responsibility for the mess, especially for creating avenues for the crooks to steal. This happened when a parastatal goes for a long time without a board and management goes wild, or you have a board bullying an acting CEO towards questionable conduct.QUESTION: The report you tabled does not feature most of the high profile parastatals that have been in the news lately among them, Kenya Pipeline Company, the Kenya Ports Authority, and the Kenya Airports Authority among others. Why?ANSWER: First, KPC and KPA had no substantive managements or boards when we were compiling the report. Only substantive CEOs and board members are allowed to give evidence to PIC. Second, absenteeism at PIC meetings was very high, and we were compelled to cancel and postpone many meetings. All committee meetings must have quorum of six members. We should do better this time round because the new Standing Orders have brought quorum down to three, granted the chair powers to eject members who fail to attend four meetings, in addition to powers to grant or decline to grant leave of absence.QUESTION:: PIC is one among the numerous watchdog and anti-corruption bodies, and which gobble colossal amounts of public money. Apparently PIC’s work is not taken seriously. For instance, a former parastatal officer, who had been blacklisted, got a job in the Judiciary.ANSWER: I am aware of that and the problem is with the Attorney General. All the PIC does is to recommend further investigation, with a view to prosecute culprits. The AG is a major stumbling block to eradication of corruption. He never follows up evidence provided by PIC to probe suspects.QUESTION: The AG has in the past said reports generated by House watchdog committees, PIC included, cannot stand scrutiny in a court of law, cannot sustain a charge, let alone conviction. Comment.ANSWER: That is untrue. Take the Anglo Leasing case, for example. The AG gave his consent and seal of approval that the fraudulent deals with ghost companies and ghost merchants were okay, committing the public to most ridiculous transactions that have cost billions of shillings. When the fraud is exposed, we ask the same AG to investigate and prosecute. He says he cannot find the thieves, and therefore no sufficient evidence, and no one is charged with fraud.It is ambitious to expect Amos Wako to investigate and prosecute Anglo Leasing cases, where he should be either a prosecution witness or suspect himself.The Constitution should separate investigative and prosecutorial roles of the A-G from his functions as legal advisor to government. The public prosecutor should be independent.QUESTION:: What can Kenyans expect from your second tenure as PIC chairman?ANSWER: Kenyans should expect better, more comprehensive and timely reports. With our experience, we know what buttons to touch and where to look. For a start, we should release a supplementary PIC report before the end of July, and another one in October.Second and most important, Kenyans should expect increased scrutiny of Government action or lack of on PIC reports.A new House Committee — the Implementation Committee — has been created purposely for that job, following up with Government, checking progress on recommendations made by House committees.

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