- He told the MPs that there is evidence the government even tried to intervene and engage the authorities in Rwanda but it became difficult.
- According to the committee, the decision led to wastage of public money through the failed project.
Image: FILE
Former Interior Cabinet Secretary Fred Matiang'i has refuted claims he issued orders to have Kenyatta University's campus in Kigali, Rwanda closed.
He said this as he refuted accusations that he occasioned a loss of up to Sh600 million at the varsity.
Appearing before the National Assembly’s Public Investment Committee on Governance and Education virtually from Washington DC, Matiang'i explained that the host countries made it impossible for the university to operate in Rwanda.
“It was a government decision and not a personal decision. The campus was not closed on a motion of the government or the university management. They were closed by authority and regulators in Rwanda,” Matiang'i told the Committee.
Also closed during the same period was the varsity’s campus in Tanzania.
He further told the Committee that chaired by Bumula MP John Wamboka that there is evidence the government even tried to intervene and engage the authorities in Rwanda but it became difficult.
“They (host governments) even amended the law to make it difficult for our campuses to operate,” he said.
Matiang'i had been invited MPs by virtue of having held the education docket before he was transferred.
The MPs are making inquiries into the circumstances that led to the closure of the KU Kigali campus, months after the varsity pumped in Sh420,749,207 million to set it up.
According to the committee, the decision led to the waste of public money through the failed project.
The MPs wanted Matiang'i to explain the rationale behind the decision to close the campuses which cost Kenyatta University millions of shillings.
“We requested you to furnish this Committee with the financial implications of this decision, especially regarding the funds already invested in setting up these campuses,” Wamboka said.
The summoning of the former CS came following a fact-finding mission to Rwanda by a delegation of some Committee members on September 27 by Central Imenti MP Moses Kirima
The report follows an inspection tour of the country by a delegation of some Committee members led
Matiang'i is said to have issued the directive to have the campus closed without consulting other key stakeholders.
“Accountability for such decisions is crucial to prevent future mismanagement,” reads a report by the delegation.
The visit was necessitated by an audit query flagged in the Auditor General’s report for the financial year 2019-20 which showed that the varsity closed despite Sh420,749,207 having been spent.
According to the Auditor General, there were no economic returns to the country as a result.
The campus is said to have been shut down due to operational issues caused by the Rwandan government.
The National Treasury has since authorized the sale of the property in Kigali.
“Despite the University's assurance that all necessary checks were done before opening the campus, the management has not yet recovered the full amount spent,” the auditor general said in the report.
The management, in its response, however, informed the committee that following the instruction from the Ministry of Education, the University embarked on the process of closing the Campus as guided by the Treasury.
It also cited the Covid-19 pandemic on the economy during the period for the delay in the sale of the property noting as a stop-gap measure, the University Council approved leasing of the property to generate rental revenue estimated at Sh4.5 million per month.
“The tender was evaluated but the highest responsive bidder submitted an offer that was below the market rate, hence the tender was declared non-responsive,” it submitted.
A breakdown of the Sh420,749,207 shows that the purchase of land and building cost Sh314,894,910, renovation and partitioning (Sh54,073,302), furniture and equipment (Sh6,657,697), computers (Sh24,699,246) and motor vehicles (Sh8,206,856).
Operating expenses took (Sh11, 489, 009) while personal emoluments (Sh728,185).
During the inspection tour to Kigali, the committee further established that renovation costs were unjustified and that the purchase of land was single-sourced.
Poor workmanship, absence of stakeholder consultation and risk of financial loss was also observed.
It has also recommended a special audit to ascertain whether there was value for money in the purchase of the land and building and the subsequent expenditures.
“The audit should investigate potential irregularities and financial mismanagement,” reads the report by Kirima.
Former KU vice chancellor Olive Mugenda and the accounting officer during the establishment of the campus have also been asked to explain the expenses incurred during the purchase and renovation of the campus.