Mr Kazungu Kambi, the Labour Cabinet Secretary. FILE
By EDWIN MUTAI, emutai@ke.nationmedia.com
In Summary
- Labour secretary Kazungu Kambi said the six board members had cleared more than five projects through closed circulation.
- The projects included the Sh3.85 billion sale of 104 executive apartments at Nairobi’s Milimani area in August 2013 and the Sh3.6 billion Nyayo Estate Embakasi housing project.
- Mr Kambi said the board had approved the Voluntary Early Retirement Package for NSSF staff which was circulated by former managing Trustee Tom Odongo on February 2013.
The National Social Security Fund (NSSF) board routinely approves projects worth billions of shillings through emails.
Labour secretary Kazungu Kambi said the six board members had cleared more than five projects through closed circulation.
The projects included the Sh3.85 billion sale of
104 executive apartments at Nairobi’s Milimani area in August 2013 and
the Sh3.6 billion Nyayo Estate Embakasi housing project.
Mr Kambi said the board had approved the Voluntary
Early Retirement Package for NSSF staff which was circulated by former
managing Trustee Tom Odongo on February 2013.
“There are so many email approvals going back to
the time of Tom Odongo, Alex Kazongo and Naftali Mogere. There is one
circulated by Mr Odongo for a project worth Sh420 million,” the minister
said as he tabled documents of five projects that the board had
approved via email.
Mr Kambi told the departmental committee on Labour
and Social Welfare that all trustees, including the Central
Organisation of Trade Unions (Cotu), had approved the projects through
emails.
The committee is investigating the controversial
Sh5.053 billion infrastructure upgrade for Tassia II and III housing
schemes, which was approved by five members through closed circulation.
On New Year’s Eve Cotu secretary-general Francis
Atwoli, who did not endorse the project, accused the board of approving
the upgrade “illegally.”
The project was awarded to China Jiangxi on the same day the approvals were made.
Mr Kambi said regulations signed by former Labour
minister John Munyes pursuant to section 8 of the repealed NSSF Act
empower the board of trustees to develop rules to govern the transaction
of its business included closed circulation.
“Once the closed circulation is approved, there is no ratification needed thereafter by the board of trustees,” Mr Kambi said.
The committee questioned the use of emails to
approve mega projects and demanded to know why the board could not meet
to pass resolutions with huge financial implications.
Mr Kambi said changes in the law would be required
to direct that “all approvals are done through physical presence of
board of trustees.”
However, MPs Gladys Wanga (Homa Bay) and Tiaya Galgalo (Isiolo) said the use of technology should not be outlawed.
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