Environment ministry bought Judi Wakhungu the top of the range vehicle for her personal use contrary to a presidential circular Ref No CAB/56/2A of July 7, 2011, which gave the upper limit of Sh2 million.
Water and Sanitation secretary Simon Chelugui, who succeeded Prof Wakhungu, has written to his Foreign Affairs counterpart, Monica Juma, seeking assistance to recover Sh2,100,000 in tax refund that the ministry failed to withhold during the purchase of the fuel guzzler.
Kenya’s Ambassador to France Judi Wakhungu is on the spot over the irregular payment of Sh7 million for purchase of a car she used during her tenure as Environment, Water and Natural Resources secretary (CS). The ministry bought Prof Wakhungu the top of the range vehicle for her personal use contrary to a presidential circular Ref No CAB/56/2A of July 7, 2011, which gave the upper limit of Sh2 million.
“In the circumstances, the department spent Sh5 million irregularly and the amount has not been recovered,” Auditor- General Edward Ouko said.
He noted that Prof Wakhungu was entitled to a car allowance of Sh7 million taxable as per the presidential circular.
Water and Sanitation secretary Simon Chelugui, who succeeded Prof Wakhungu, has written to his Foreign Affairs counterpart, Monica Juma, seeking assistance to recover Sh2,100,000 in tax refund that the ministry failed to withhold during the purchase of the fuel guzzler.
“In order to correct this anomaly, we request you to facilitate recovery of Sh2.1 million tax refund and remit the same to Kenya Revenue Authority and inform us accordingly,” Mr Chelugui said in a letter dated August 15, 2017.
Water and Sanitation principal secretary Joseph Irungu tabled the letter when he appeared before the Public Accounts Committee (PAC) on Friday to respond to audit queries for the ministry’s books of account for the year to June 2015.
Mr Chelugui said the ministry pursuant to the presidential circular Ref No CAB/56/2A of July 7, 2011 procured a motor vehicle for Prof Wakhungu.
“The ministry, however, erroneously failed to withhold tax amounting to Sh2,100,000, which is 30 per cent of the Sh7 million authorised car allowance.”
“This matter has been queried by Auditor-General and is appearing in the Public Accounts Committee report for the financial year 2014/15 and 2015/16,” Mr Chelugui said in a letter to CS Juma.
A letter written to then Environment and Natural Resources PS Charles Sunkuli dated August 26, 2016 shows that the ministry purchased the car from Toyota Kenya Limited for Prof Wakhungu, but did not deduct the tax as stipulated in the presidential circular.
Mr Irungu told the committee chaired by Ugunja MP Opiyo Wandayi that the ministry allocated the Toyota Prado to Prof Wakhungu for personal use despite also having an official government vehicle.
“There is no indication of number of vehicles that a cabinet secretary is entitled to. I think it goes per need. It is left to normal practice where they get an official vehicle on top of one for private use,” a human resources manager who accompanied Mr Irungu told MPs.
PAYE Tax Calculator
Note: The results are not exact but very close to the actual.
