Inquiry in to Allegations that Baseline Consultancy was Awarded Tender for Consultancy Services for Ronald Ngala Utalii College Construction without a Budget.
The Ethics and Anti-Corruption Commission (EACC) received a report on allegations that the Tourism Fund (TF) fraudulently paid KSh 8.5 Billion to set up the Coast Branch of Kenya Utalii College (later renamed Ronald Ngala Utalii College-RNUC).
Vision 2030 Flagship Project
The Ronald Ngala Utalii College was one of the projects that were to be funded by the Government under the vision 2030 flagship projects.
It was reported that the TF managers inflated the cost of setting up the college to KSh 10.4 Billion against the initial cost of KSh 1.95 Billion.
It was established that the Tourism Fund contracted private consultants to come up with drawings and designs of the college and also to supervise the main contractor. The drawings and designs were done and approved with a cost estimate of KSh. 8.6 Billion.
Over-payment of Ksh 1.4 Billion
Investigations established that the Cabinet in its memo signed by the Minister for Tourism on 22nd May, 2007 and Minister for Finance on 20th August, 2007, approved the construction of Utalii College in Vipingo at a cost of KSh. 1.948 Billion.
It was further established that not the whole amounts paid to the firms were legitimate, as the firms had been overpaid to a total of KSh. 1,483,460,914.
Former Cabinet Secretary and Permanent Secretary Could be Charged
On 1st August, 2023 a report was compiled and forwarded to the DPP with recommendations to charge former Cabinet Secretary, Ministry of Tourism, former Permanent Secretary, Ministry of Tourism, former Chief Executive Officer of the Catering Tourism and Development Levy Trustees, the then Chief Executive Officer of the Catering Tourism and Development Levy Trustees, the Procurement Manager of the Catering Tourism and Development Levy Trustees, Baseline Architects, Rebman Malala T/A Ujenzi Consultants, Armitech Consulting Engineers and members of the Tender Committee with the following offences;
- Five counts of wilful failure to comply with the law relating to procurement contrary to section 45 (2) (b) as read with section 48 (1) of Anti-Corruption and Economic Crimes Act, 2003;
- Four counts of unlawful acquisition of public property contrary to section 45(1) (a) as read with section 48 (1) of the Anti-Corruption and Economic Crimes Act, 2003.
- One count of abuse of office contrary to section 46 as read with section 48 (1) of Anti-Corruption and Economic Crimes Act, No. 3 of 2003.
The Director of Public Prosecutions’ response is awaited.