{"id":93412,"date":"2024-09-19T04:03:16","date_gmt":"2024-09-19T04:03:16","guid":{"rendered":"https:\/\/chezaspin.com\/blog\/index.php\/2024\/09\/19\/mps-probe-sh29-8mn-moi-university-gate-in-details-unearthed-by-audit-report\/"},"modified":"2024-09-19T04:03:16","modified_gmt":"2024-09-19T04:03:16","slug":"mps-probe-sh29-8mn-moi-university-gate-in-details-unearthed-by-audit-report","status":"publish","type":"post","link":"https:\/\/chezaspin.com\/blog\/mps-probe-sh29-8mn-moi-university-gate-in-details-unearthed-by-audit-report\/","title":{"rendered":"MPs probe Sh29.8mn Moi University gate in details unearthed by audit report"},"content":{"rendered":"

NAIROBI, Kenya Sep 18 \u2013 Details disclosed before the National Assembly\u2019s Public Investments Committee on Education have revealed how Moi University spent a whooping Sh29.8 million to build the university gate.<\/strong><\/p>\n

The revelation unearthed in the auditor general report showed the institution management initially had a Sh4.8 million budget but it was demolished because the gate was on a road reserve.<\/p>\n

The University led by the Vice Chancellor Isaac Kosgei then allocated Sh25 million to build a new gate in a different location raising concerns from the Auditor General.<\/p>\n

\u00a0\u201cWe were forced to abandon the first project because we were advised by Kenya Rural Boards Authority KERRA that the gate was on a road reserve,\u201d VC Kosgei told MPs.<\/p>\n

MPs questioned why the university allocated the colossal amounts on building a university gate yet it was facing other pressing needs in the higher learning institution including delayed salaries for staff.<\/p>\n

\u201cYou build a gate of Sh24 million, and yet you are insolvent? What is on this gate, is it a storied gate?\u201d the committee chair Wanami Wamboka posed.<\/p>\n

Rivatex loan<\/h2>\n

The committee is also \u00a0investigating circumstances under which Rivatex was extended a Sh3 billion loan from Exim Bank following revelations that Moi University acquired the textile company at Sh600 million.<\/p>\n

Treasury took the loan to upgrade the facility with modern equipment following details that the varsity would repay the loan which is maturing next year.<\/p>\n

A crisis is looming as Rivatex has been making losses after it posted a Sh300 million loss in the year to June 2023.<\/p>\n

\u00a0\u201cYour core mandate is education but you detour and invest in a company that is not functional. There is more to be done on this,\u201d the committee chair said.<\/p>\n

The university explained thet bought Rivatex to train textile engineering students, reach out to farmers, and produce fabrics.<\/p>\n

\u201cIt was a small component\u2026Jubilee sought to revive it and former President Uhuru Kenyatta agreed to connect us to the Exim bank to buy the equipment,\u201d he said.<\/p>\n

Kosgey said the university was liquid when the decision to purchase the textile firm was made.<\/p>\n

\u00a0\u201cIf you were given Sh3 billion, would you not improve learning facilities? Are you getting value for money?\u201d Wanami posed.<\/p>\n

MPs want the Industry Ministry, Education Ministry, Treasury, former VC Richard Mibeyi and any other person of interest to appear before the committee to explain the events.<\/p>\n

Fraud allegations<\/h2>\n

This is at emerged that employees of the university colluded with bank officials to divert monies paid as school fees to a private staff welfare bank account.<\/p>\n

Details in the Auditor General report show Sh 7.7 Million paid by Moi University students, Nairobi branch was swindled to a different account.<\/p>\n

The Moi University Vice Chancellor admitted the fraud incident explaining that disciplinary action had been taken against the staff involved in the fraud.<\/p>\n

\u00a0\u201cIt was a case of fraud where some employees colluded with the bank to fleece the school,\u201d Kosgei said.<\/p>\n

\u201cWe did not take them to court, instead we took them through a disciplinary process and sacked them, but one them appealed and he his back at the institution,\u201d he added.<\/p>","protected":false},"excerpt":{"rendered":"

NAIROBI, Kenya Sep 18 \u2013 Details disclosed before the National Assembly\u2019s Public Investments Committee on Education have revealed how Moi University spent a whooping Sh29.8 million to build the university gate. The revelation unearthed in the auditor general report showed the institution management initially had a Sh4.8 million budget but it was demolished because the […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-93412","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts\/93412","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/comments?post=93412"}],"version-history":[{"count":0,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts\/93412\/revisions"}],"wp:attachment":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/media?parent=93412"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/categories?post=93412"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/tags?post=93412"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}