The scandal involving the Sh21 billion Kimwarer and Arror dams has resurfaced after an audit report questioned the advance payment of Sh4.2 billion that was specifically paid for the construction of the Arror Dam.
Auditor General Edward Ouko has raised queries over the unsupported advance payment of Sh4.2 billion of the total budget of Sh4.5 billion that were proceeds from foreign borrowings paid to Italian Firm CMC Di Ravenna-Itinery JV yet no work has been done on the ground.
In a report tabled in the National Assembly, Mr Ouko expressed concerns that despite the payment, there was no evidence of who was paid the money, when the money was paid and by who, and who granted the authority for the money to be paid. He added that no environmental impact assessment report was given for audit.
The report of the State Department for Planning and Statistics for the year ending June 2018 questioned the advance payment that represented 15 per cent of the contract sum.
But the advanced payment had not been recommended by the Kerio Valley Development Authority (KVDA).
“The advance payment claim certificate equivalent of Sh4.2 billion that was used for payment was not dated, had not been recommended by the KVDA general manager – technical services, and was not approved by the chief executive officer of KVDA,” reads part of the report.