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Auditor-General Audit Report Reveals How Angela Angwenyi Was Part of NYS Fraud in A Sh. 302.46M Contract



The latest, The special audit report by the Office of Auditor General under Edward Ouko, presented before the National Assembly’s Public Accounts Committee, has outlined how the Kenyan taxpayer might have lost Sh.1.9B in fraudulent deals in NYS.

The report also reveals Businesswoman Josephine Kabura, a close associate of former devolution CS Anne Waiguru as the biggest beneficiary.

Josephine Kabura received Sh1.3 billion on account of 11 companies that did business with the NYS and was to receive part of the fraudulent payment of Sh675.4 million that flopped. In her much-publicized affidavit, Kabura said she was acting and making transactions on Waiguru’s blessings whom she describes as the NYS fraud mastermind.

In the report, Ouko notes the genesis of NYS fraud started when the then NYS Director- General Nelson Githinji was replaced with Mr. Adan G Harakhe. Subsequently, instructions were issued to the director IFMIS at the National Treasury to define Mr. Aden G Harakhe as the A.I.A holder for the NYS.

Interestingly, it was during this time that Sh460.9 million of the stolen Sh791.4 million was fraudulently paid out.
In October 2015, renown whistle blower and anti-corruption crusader, the late Jacob Juma in one of his many exposing posts, revealed how former Nation FM’s Angela Angwenyi was involved in a Sh.90M fraud.

FROM HIS UNNAMED BUT HIGH VOLTAGE INTELLIGENCE, Angela had registered Out of Box Solutions a company that within 30 days, she had been fraudulently paid Sh.90M.

Reacting to the accusations, Angela, who by then had retired from the lucrative radio job with NMG, dismissed the claims citing Juma’s remarks as falsehoods.

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Angela by the time used to host the morning show, SOTN alongside Jimmy Gathu on Nation FM, noticeable, she passionately defended Waiguru of any wrongdoing as NYS scandal fire blew up.
From the intel available, Angela with the blessings of Anne Waiguru via access to government procurement opportunity defrauded NYS Sh.90M.

In accordance to Juma’s intel, Mr. Samuel Odhiambo, an insider in supplies department at the devolution ministry ganged up with Angwenyi in the Sh.90M fraud.

Now, the auditor report confirms the claims by detailing how Angwenyi’s Out of the Box Solutions LTD is being investigated over a publicity contract for the planning department at an exorbitant cost of Sh. 302.46million.

From the report in Kenya Insights hands and before the parliament, Out of the Box Solutions Ltd was contracted for consultancy to give users support services and perform sensitization campaigns to 30% reservation of government procurement opportunities for the women and persons with disabilities.

Ouko’s report rubbishes off the long title aside claiming it was a vague job, and no evidence could ascertain whether the schedule of activities put out had been achieved before payments were made. “It was, therefore, possible to make payments as provided in the schedule of activities without the purpose of being delivered.

Fees ought to be based on achievements of measurable impact of the sensitization campaigns,” laid out the special audit report.
August 13, 2015, auditor general notes a suspicious payment of Sh. 90.74M to Angwenyi’s company.

Her bank got suspicious with the sudden massive transactions made through the central bank that they called Planning department to confirm if they were dealing with the right client (Angela Angwenyi).

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In conclusion, Ouko’s report say, “No document was provided to confirm that indeed the beneficiary and details of the payment were meant for Out of the Box Solutions Ltd.”


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