Act on Sh45m fertiliser subsidy, House tells DPP

Parliament wants the Director of Prosecutions (DPP) to prosecute those who were involved in paying Sh45.4 million for undelivered fertiliser in a subsidy.

The National Assembly’s Public Accounts Committee (PAC), has asked Noordin Haji to probe a company that was contracted to deliver 182,000 bags of various types of fertiliser each weighing 50 kilos during the short rains at $4,434,733 (Sh456,777,550), and which did not deliver 17,060 bags worth $441,001 (Sh45,423,103) in the year to June 2017.

According to the Auditor-General’s office, the firm — Holbud Limited — was paid the full amount of the contract.

No reason was provided for the failure by the contractor to deliver the consignment in full, former auditor Edward Ouko said.

“The ODPP (Office of the Director of Public Prosecutions) should, within three months of adoption of this report, take up the matter with a view to prosecuting all those involved in the payment of US$441,001 (Sh45,423,103) for undelivered 17,060 bags of various types of fertiliser each weighing 50 kilos during the short,” PAC said in a report. The recommendation is in the report on the audit of the national government for the year 2016/17 that was adopted by Parliament last month.

The committee, chaired by Ugunja MP Opiyo Wandayi said the unnamed firm was contracted to deliver 182,000 bags of various types of fertiliser during the short rains.

“The committee observed that the company was paid in full before delivery of the fertiliser and the matter remains unresolved,” Mr Wandayi said in the report.

The PAC wants Agriculture Principal Secretary Hamadi Boga to submit information on the procurement to the Auditor-General for review.