ANC leader Musalia Mudavadi wants the DCI to probe Sh160 billion spent on construction of dams in the last six years.
Mudavadi on Sunday said although the money is on record as having been spent, there are no dams to show for it.
He said donors have threatened to withdraw Sh1.2 trillion funding for water projects.
The ANC leader said the dam projects that needed to be probed included Badasa in Marsabit and Chemususu in Baringo.
Mudavadi said Sh1 billion was spent on a non-existent dam in Kajiado, among many others that either stalled or failed to start.
He faulted those claiming that the probe on Arror and Kimwarer dams was targeting the Kalenjin community and its leaders.
"Even the Auditor General in his reports does not name any tribes but officers responsible and their departments," Mudavadi said.
He was speaking at Singore in Elgeyo Marakwet during a funds drive for water projects. He had earlier attended a church service at Mokwo in the same county.
Mudavadi visited Singore where his father, Moses Mudavadi, lived in 1957 when he was education officer.
He was accompanied by Lurambi MP Titus Khamala, Elgeyo Marakwet speaker Kiplagat Sabulei, former Elgeyo Marakwet gubernatorial aspirant Moses Changwony and politicians Kevin Okwara and Micah Kigen
Mudavadi said dams were required in all parts of the country but they could not be developed through graft.
The ANC leader said the collapse of dams in Elgeyo Marakwet due to corruption and would affect the whole country as donors are pulling out of other projects aimed at helping Kenyans access water and other benefits.
He faulted Jubilee leaders who were politicising the war on graft.
"Some of them recently almost lynched [Elgeyo Marakwet Governor] Tolgos for speaking about graft in the dams projects. They can silence Tolgos but we will not stop telling the truth."
He repeated his call on the President to stop being lenient with those linked to graft and have them arrested.
"We no longer need handshakes but we need to see handcuffs on people who have looted from Kenyans," he said.
He said the handshake between President Kenyatta and ODM leader Raila Odinga had not helped to end corruption
Mudavadi said he had, four months ago while in Elgeyo Marakwet, cautioned Finance CS Henry Rotich not to be used to sign suspicious deals in the government because he would be left to carry the cross alone.
“Those who were pushing Rotich to quickly sign the deals on dams were making noise all over while Rotich is now a frequent visitor at the DCI."
He said many Kenyans are poorer, yet a few people are busy looting the economy for personal benefits.
“We cannot continue running the government and public affairs the way it’s happening in Kenya with looting all over and daily.”
