DP Ruto’s man at the coast roped in Shs59m fraud

The County Public Accounts and Investments Committee appealed to the Ethics and Anti-Corruption following the lamentations by the county government that the agency was hindering the recovery of the money.

Appearing before the committee on Wednesday, Governor Amason Kingi told the nine-member panel that the commission has stalled the recovery of the cash after it obtained a court order stopping any negotiations.

According to the governor, all the firms that reportedly manipulated the financial system and transferred the cash to their own private accounts had agreed to refund the cash in an out of court agreement.

However, the EACC moved in and launched an investigation into the fraud that involved more than Sh59 million.

The county chief disclosed that some Sh8.3 million had already been recovered at the time the commission obtained the order, adding were it not for the order, the entire amount would have been recovered.

In 2016, crooks are said to have gained access to the county’s bank accounts after they manipulated the electronic money transfer system – Integrated Financial Management System (IFMIS).

They reportedly stole passwords belonging to 10 officials and used them to access system where they transferred the cash from the county’s account at the Central Bank of Kenya.

The county’s internal auditor flagged out the fraud.

But Kingi said the admission by the firms and recovery of the firms would have strengthened the ongoing probe if the order would have been lifted.