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Economy

EACC on spot over NHIF car park probe

NHIF headquarters
NHIF headquarters in Nairobi Upperhill area. FILE PHOTO | NMG 

The Ethics and Anti-Corruption Commission (EACC) is one the spot for failing to initiate investigations on how the cost of building a car park by the National Hospital Insurance Fund (NHIF)rose from Sh909 million to Sh3.4 billion.

Outgoing Auditor General Edward Ouko in his report tabled in Parliament said that the anti-graft commission has not acted on the report of the Public Investments Committee.

The committee chaired by Mvita MP Abdulswamad Nassir had recommended that EACC should institute and fast-track investigation on the project and prefer charges against all those who would be found culpable.

In the audit report, NHIF failled to explain how the cost of the multi-storey car park in Nairobi went up.

Revised contract sum

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According to the report for the year ending June 30, 2018, the construction commenced in May 2002 and was scheduled to end in August 2003.

However the contract sum was later revised upwards to Sh1.2 billion above the original contract sum.

The report indicate that although the project was completed in July 2008, a further Sh626.6 million and Sh4.7 million was incurred in the financial years 2009/10 and 2010/11 respectively on the project.

“The escalation of cost of the car park by 337 percent over and above the original cost has not been justified,” reads the report. Mr Nassir said that the committee would soon recall NHIF directors over other matters and the issue will be discussed again.

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