Does the Treasury Know How Many Cars the Government of Kenya Owns? Parliament Certainly Does Not Know and It is Possible to Deduce That There May Be a Serious Problem

Does the treasury know how many cars the Government of Kenya owns?

How many cars does the Government own?  No one knows but it is possible to deduce that there may be a serious problem.

According to the Approved budget for the financial year 2007/2008 the total number of vehicles owned by the Government of Kenya was 10,589.  This is the last publicly known figure of how many vehicles belong to the Government of Kenya.  The following year, Schedule V which records the motor vehicle establishment was mysteriously removed from the budget and has never reappeared in all the budgets since.

The total number of drivers employed by the Government of Kenya according to the budget presented to Parliament by Finance Minister Uhuru Kenyatta last June is 4,206. We can therefore assume that the Government of Kenya owns about 4,206 cars as it would be irrational to have more cars than drivers.  Or is it possible that 6383 cars are self-driven by public officials?  Could they have been sold?  Probably not if one considers that the money reported by the Treasury to have been received from the sale of motor vehicles between 2008-2010 amounts to only Kshs 35,421,721.

What we’d like MPs to ask treasury before the next supplementary and national budget is why there are no drivers for the other 6383 cars?  Additionally they should ask why Schedule V is no longer being presented to them so that they can inform themselves on how many cars the Government actually has before being asked to approve fuel, maintenance, and overhaul and motor vehicle purchase budgets.  The amounts involved are staggering.  Parliament approved Kshs 5.4 Billion for the purchase of new motor vehicles for the financial years 2008/2009 and 2009/2010; and a total of Kshs 8.013

Billion in motor vehicle related expenditure for this financial year. When Parliament did this, MPs had no idea and still do not know how many cars the Government owns.

But surely treasury knows the number of cars that Government owns, otherwise how did they plan the budget for fuel, maintenance, overhaul etc. We take bets that treasury has no clue either.

It is important to clear these sorts of anomalies up. There are many. Parliament unanimously ordered an independent Forensic Audit into the National Budget going back three years. This Audit is yet to begin 8 months later. Kenyans want the forensic audit ordered by Parliament to commence immediately so that we know our true financial position and not continue to operate in ignorance as Treasury is keeping us.

To End Corruption in Kenya It is Time to Audit Kenya’s Ministry of Finance As Directed by Parliament: No Audit, No More Money from Kenyan Taxpayers

TO END CORRUPTION IN KENYA IT IS TIME TO AUDIT KENYA’S MINISTRY OF FINANCE AS DIRECTED BY PARLIAMENT: NO AUDIT, NO MORE MONEY FROM KENYAN TAXPAYERS

Corruption and impunity are king in government of Kenya circles. Maize, Oil, Guns, Grand Regency Hotel, Goldenberg, the phantom Ken Ren Fertiliser Factory, Anglo Leasing, Free Primary Education, the list goes on and the institutional rot is obvious.

Independent audits have recently exposed crooked transactions in key Kenyan government ministries including Education, Agriculture, Special Programmes and the Office of the Prime Minister. But there is one important independent forensic audit that although ordered by Parliament, eight months ago appears stalled. It is the biggest forensic audit in Kenya’s history and it is meant to investigate a three year period of the National Budget because following exposes by Mars Group in April 2009 Parliament discovered that there was 10.7 billion shillings missing in the Supplementary Budget submitted to it by the Office of the Deputy Prime Minister and Ministry of Finance. We believe that this forensic audit would have discovered and stopped even larger scandals than those titillating the Kenyan press. Despite the obvious connection to today’s corruption scandals, and for unknown reasons, few are demanding that this audit finally kicks off. Here’s the story of Kenya’s forgotten ten billion shilling scandal.

AUDIT THE TREASURY

On 13th May 2009 the Report of the Joint Committees on Finance Planning and Trade and the Budget Committee on the inconsistencies contained in the supplementary estimates of the Financial Year 2008/2009 was tabled in Parliament and was unanimously adopted by a Motion of the whole house.

Moving the Motion Hon Chris Okemo on behalf of the Joint Committees told the National Assembly that their investigation into the Supplementary Budget had identified a total discrepancy of Kshs10,763,446,275 arising from 200 Items affecting the recurrent expenditure of 36 Ministries and departments. Clearly the problem was huge.

Hon Okemo told the National Assembly that the information was derived directly from the supplementary budget. We quote verbatim:

“…I would now like to go to the issue of discrepancies, which has been the subject of the Committee’s proceedings. The following people appeared before the Joint Committee and gave valuable evidence: The hon. Gitobu Imanyara, MP; the Deputy Prime Minister and Minister for Finance, MP; the Permanent Secretary, Treasury, and his Budget Officers; Mwalimu Mati of Partnership for Change; Jayne Mati, Partnership for Change; Cyprian Nyamwamu, Partnership for Change, and the Controller and Auditor-General.

Madam Temporary Deputy Speaker, we examined the evidence from hon.Imanyara in great detail, and found the data acceptable and very helpful to the proceedings of the Committee. That information, irrespective of its source, came directly from the Printed Supplementary Estimates.”

The Joint Committee Report contained several important recommendations which were unanimously adopted by the National Assembly. Hon Okemo told Parliament that the Joint Committee had made recommendations and again we quote verbatim

“Madam Temporary Deputy Speaker, having looked at all this evidence and having laid the background on how budget-making is done under the provisions of the Constitution, and having found out that there were discrepancies at some point, I would now like to read out the recommendations of the Joint Committee.>

The first recommendation is that since there are inconsistencies in the Supplementary Estimates, they should be withdrawn and the correct Estimates resubmitted to form the basis for the Appropriation Bill which will be brought before this House.

Secondly, an independent forensic audit should be done by an independent body to look into the three years that have been under the GFS system to determine whether there might have been other inaccuracies or inconsistencies in the last two years in addition to the current year.

The third recommendation is that the Fiscal Management Bill is long overdue and I am glad to see that we have on the Order Paper, the Motion to discuss the Memorandum of His Excellency the President on objections to the Fiscal Management Bill. I believe that we shall carry out that exercise with speed and that it will receive the support of everybody, including the Government side. This is because more transparency, interrogation and participation in the budget-making process will lead to a Budget that all can be happy and comfortable with. That Budget will reflect the real priorities as spelt out by the Government.”

The first recommendation was addressed and the Minister for Finance withdrew the Supplementary Estimates first laid on the Table of the House on 22nd April, 2009, and re-submitted new Supplementary Estimates.

The third recommendation was addressed when the Fiscal Management Act came into effect on 19th June 2009.

The second recommendation (that there should be an independent forensic audit) has not been acted on at all. And yet since May 13th 2009, several ministries have been implicated in financial scandals and acts of corruption and financial mismanagement have been reported and investigated by independent forensic audits.

In moving the motion to adopt the report on behalf of hon. Members of the Joint Committee on Finance, Planning and Trade and the Budget Committee, Hon Chris Okemo also told the National Assembly why an independent forensic audit was necessary:

“… Madam Temporary Deputy Speaker, it is not, therefore, very easy to be able to conclusively say here that the discrepancies do not show whether money was misapplied or not. That is why, as one of our fundamental recommendations, we have said that there has to be a serious, in-depth forensic audit into all the data that appears in the current financial year as well as in the last two previous years. However, the letter we have received from the Controller and Auditor-General is very specific. In part, it says as follows:-

“As may be observed above and in the Appendix, the difference of Kshs 10,763,446,275 was caused by unreconciled discrepancies between the provisions shown in the Printed Estimates for 2008/2009 against various Votes and those appearing in the Supplementary Estimates for the period against the same Votes.”

The third comment in the letter I have referred to is as follows:-

“The difference of Kshs 10,763,446,275 does not, however, constitute any loss or misappropriation of public funds.”

I am merely quoting a letter from the Controller and Auditor-General, addressed to the Clerk of the National Assembly.

Madam Temporary Deputy Speaker, the evidence, therefore, on the basis of the data that was available to us, that was talking about discrepancies, seems to suggest that the differences that arise as a result of non-reconciliation of Items does not lead to loss of funds or misappropriation of funds.

However, because of the time constraint, and because of the volume of the data that was involved, it must be appreciated by this House that those numbers have far reaching implications as far as the economic development of this country is concerned, and as far as the allocation of funds in this country is concerned. We want to satisfy ourselves that since the introduction of the Government Financial Statistics (GFS), that is an international standard for coding, which was introduced three years ago, all the figures contained in the Printed Estimates and Supplementary Estimates for the three years in question are correct. We want to satisfy ourselves that no such errors may have been caused, or that no misappropriation or misapplication of funds may have taken place. ….“

The Chairman of the Budget Committee, Hon Martin Ogindo in his submissions to the National Assembly re emphasized the necessity of an independent forensic audit in these terms:

“ The second issue that the Committee was to inquire into was as to whether funds could have been misapplied. To this end, as has been indicated by the Chairman, the volume of data involved and the time span that the Committee had, it would not have been possible to determine that. In this context, as has been articulated by the Chairman, the Joint Committee has recommended a forensic audit to be done.

Maybe, for all to know what we are talking about, a “forensic audit” is an investigation of a fraud, a presumptive fraud or a suspected fraud with a view of gathering evidence that can support the figures. We would like to have a forensic audit in the budget-making process in this country to determine whether, indeed, there is compliance with the regulatory requirements. As was submitted to the Joint Committee by the Deputy Prime Minister and Minister for Finance, this error could have been caused by a computer bug or a deliberate act of computer operators. What we noted is that, indeed, there was a deliberate commission of an act of error. To this end, it will be important that a system audit also be carried out to determine or evaluate the objectivity, inadequacies, competence and due diligence of the institutions and persons engaged in the budget-making process.

Madam Temporary Deputy Speaker, over and above that, we would expect a forensic audit to reconcile the budget provisions in the Printed Estimates, the Vote Book balances and entries, the Supplementary Estimates, the Consolidated Fund Services (CFS) items and Exchequer issues for the 2008/2009 Financial Year. It is a point that we will be sure that no funds have been misapplied. Towards that end, the Committee strongly recommends for a forensic audit.”

Hon Ogindo went on to describe the essence of the independent forensic audit thus:

“Madam Temporary Deputy Speaker, the whole essence of a forensic audit is to determine whether what we are using as a Budget programme is, indeed, reliable. Secondly, it is to determine through reconciliation, which we could not do because of shortage of time and lack of expertise, whether funds could have been misapplied.”

In view of the current corruption revelations, the Partnership for Change is of the view that the independent forensic audit of the National Budget as resolved by the National on May 13th 2009 is urgent and particularly so because the Government is preparing to bring a supplementary budget before the house soon.

The resolution by Parliament calling for an independent forensic audit into the National Budget for the last three years was arrived at after the National Assembly satisfied itself that an independent forensic audit was necessary to be sure that no public funds had been misapplied pursuant to what Treasury called a Kenya Shillings 10.7 billion computer error.

An independent forensic audit as directed by the National Assembly would determine or evaluate the objectivity, inadequacies, competence and due diligence of the institutions and persons engaged in the budget-making process. Further such an independent forensic audit would have discovered any systemic or deliberate errors, theft, or mismanagement of the taxpayers’ resources and would have identified those responsible for such errors, theft or loss of public funds. The independent forensic audit would have certainly captured the misconduct of the Agriculture and Education Ministries. It should be noted that over 8 billion shillings of the 10.7 billion shillings identified in the supplementary budget ‘computer error’ inquiry was actually in the budget of the Ministry of Education which has recently been embroiled in scandal over the Free Primary Education subsidy.

The independent forensic audit is the only way in which to ascertain that Kenyan taxpayers’ funds are being used for the purposes approved by our representatives according to the votes in the National Budget. We trust that the National Assembly will reaffirm that the Government does not have its own money and that all its funds save for those borrowed belong and are given to the Government by Kenyan tax payers. As such the government must be accountable to the Kenyan citizens through the National Assembly and the independent forensic audit is a means to secure such accountability.

Members of Parliament are paid to secure the peoples interests. We cannot continue to pay taxes to a Government that steals our sweat while our children continue to suffer. If the Independent Forensic Audit does not commence immediately, then the Kenyan public will have the moral authority to stop remitting taxes to the Government.

We have therefore commenced a 100 days campaign for fiscal accountability.
We will therefore remind Parliament of its obligation and duty to Kenyans that they represent.

The Partnership for Change is petitioning parliament pursuant to section 205 (2) of the new standing orders. We are asking that Parliament

1. Resolves that the Implementation, Budget and Finance Committees of Parliament urgently work to ensure that an independent forensic audit into the National Budget for the financial years 2006/2007, 2007/2008 and 2008/2009 is commenced in terms of implementing the resolution of the National Assembly of May 13th 2009

2. Hears our Petition and acts on it as one of the means of ending fiscal mismanagement in the Government of Kenya

3. Takes any other authorised action to ensure that the resources for such an independent forensic audit are availed and that the forensic audit is completed in good time to ensure that the next National Budget is clean and economical.

4. Resolves that an independent forensic audit be commissioned immediately and be completed before the next supplementary budget is brought to the National Assembly for approval by our elected representatives.


Kenyans can download a copy of the petition here.

Collect 20 signatures and drop off the completed petition forms to:

The Kenya National Commission on Human Rights (KNCHR)
1st Floor,
CVS Plaza,
Kasuku road, off Lenana road,
Nairobi, Kenya

Submission to the Public Accounts Committee Enquiring into Matters Arising from the Finance Ministry Purchase and Surrender Vehicle Scheme 2009

SUBMISSION TO THE PUBLIC ACCOUNTS COMMITTEE ENQUIRING INTO MATTERS ARISING FROM THE FINANCE MINISTRY PURCHASE AND SURRENDER VEHICLE SCHEME 2009

Mr. Chairman: This submission is on behalf of the Partnership for Change a non-violent people’s movement dedicated to ending dictatorial impunity and re-establishing democratic accountability in Kenya.

Mr. Chairman: We are interested in sharing information, we have obtained from public domain and official records, which is relevant to the summons you have reportedly issued to the Minister for Finance regarding the Ministry of Finance’s ongoing vehicle surrender and replacement exercise.

Mr. Chairman: In order to better engage the public with public finances the Partnership for Change through Mars Group Kenya conducts detailed studies of budgets at central and local levels.  We have previously had the opportunity to appear before a Joint Parliamentary Enquiry by the Budget and Finance Committees into the Supplementary Estimates of the Financial Year 2008-2009.  Our findings of discrepancies in the Supplementary Estimates triggered the enquiry and resulted in the adoption of a unanimous report which included a recommendation that an independent forensic audit should be done by an independent body to look into past three years of the National Budget including the Consolidated Fund Services to determine whether there might have been other inaccuracies or inconsistencies in the last two years in addition to the current year.  Unfortunately the Independent Forensic Audit has not yet been commissioned.

Mr. Chairman: The press has reported that your Committee is interested in the procurement processes which resulted in the purchase of 120 VW Passat saloon cars by the Ministry of Finance for Cabinet Ministers, Assistant Ministers and Permanent Secretaries.

Mr. Chairman: Apart from the obvious blatant contempt for transparency and fidelity to the letter and spirit of procurement procedures indicated by the single sourcing by the Treasury in its latest vehicle policy scheme, a little known Treasury press statement of December 2008 and missing information in the subsequent 2009 National Budget suggests Kenyan taxpayers have reason to be concerned, hence our appearance before your Committee.

THE 2008 VEHICLE SURRENDER PROGRAMME PRESS STATEMENT:

Mr. Chairman: On December 14th 2008, the Daily Nation in a story entitled “Public Vehicles on sale at throw away prices” reported that about 2,000 Government vehicles earmarked for sale under a reformed transport system were being sold off at incredibly low prices. The Nation revealed that the cars were said to have been sold for as little as Sh500. Most of the vehicles already sold were bought by well-connected individuals and companies through questionable deals. The cars were being auctioned in line with a transport policy announced by the then Finance minister Amos Kimunya during the 2006 Budget speech and that the sale was expected to save the Treasury about Sh1.3 billion per year in fuel and maintenance costs. 
Mr. Chairman: The Daily Nation story was met with an immediate response from the Treasury. In a press statement, the Financial Secretary “noted with concern an article carried on the front page of Daily Nation newspaper of Monday, 15th December 2008 headlined "Public Vehicles on Sale at Throw Away Prices", which alleged that the disposal of vehicles surrendered under the New Government Transport Policy had not been transparent. Nothing could be further from the truth” said the treasury statement.
The Financial Secretary stated that Treasury records indicated that by then only 488 vehicles had been sold through open tender rather than the 1,210 stated in the Daily Nation article. According to the Financial Secretary the sale had realized a total of Kshs.194,061,335 which had already been paid to the exchequer.   The same official stated that another 811 vehicles were advertised for sale which had closed on 25th November 2008 and were awaiting tender awards.  Finally, the official claimed that a further 789 vehicles were under the process of being sold and advertisements were due in early January 2009.
Mr. Chairman: In total by December 2008, the Treasury had collected 2,088 vehicles from various Government Ministries and Departments. According to the Treasury, the process of surrender would continue until all 2,213 targeted vehicles were accounted for.
THE 2009 VEHICLE SURRENDER PROGRAMME:
Mr. Chairman: The reason for the surrender of the vehicles in 2008 was the very same as that behind the 2009 surrender scheme.  During the presentation of the 2008  Financial Year Budget Statement, the Minister for Finance announced the introduction of a new Transport Policy to address weaknesses observed in the existing transport policy, characterized by mismanagement, high maintenance cost and inefficiency, lack of parity in allocation of transport facilities, proliferation of vehicle models and idle capacity due to imbalance between the number of vehicles and drivers; lack of capacity to enforce regulations on the use of Government vehicles and escalating cost of providing Government transport which stood in excess of Kshs.4 billion per annum without corresponding improvement in service delivery.  The 2009 Budget Speech repeated the same reasons.
Mr. Chairman: The Budget estimates reflect the proposal to Parliament by the Government to spend and must show the expected revenues and debts the Government intends to service. It also provides the ACTUAL AMOUNT spent (Expenditure) and received (Appropriations in Aid) in the previous or preceding financial year.  When he presented his budget for the financial year 2009/2010, the new Minister for Finance, Hon. Uhuru Kenyatta was required to state the revenue received from the sale of motor vehicles for the preceding financial year 2008/2009; and he did so. But is what he reported to Parliament the truth?  Mr. Kenyatta disclosed the following as monies received from sale of motor Vehicles for the year 2008/2009.

Income from sale of vehicles 2008/2009

Kshs

Receipts from the Sale of Vehicles and Transport Equipment

17,351,081

Receipts from the sale of Vehicles and Transport Equipment – Paid as Exchequer

    760,000

Source: Estimates of Recurrent Expenditure of the Government of Kenya (2009-10)
Mr. Chairman: What happened to all the money raised by the Treasury from its reported sale of 2,213 motor vehicles surrendered? What happened to the Kshs.194,061,335 that Treasury claimed to have by the time of its press statement received for 488 cars sold? What happened to the proceeds from the sale of the other 1,725 cars?
Mr. Chairman: Hon. Uhuru Kenyatta was also required to indicate in his estimates for the current financial year 2009/2010 the amount he would raise from the sale of unneeded or surrendered cars in Appropriation-in-Aid. Here is what he reported to Parliament as expected receipts from sale of motor vehicles during financial year 2009/2010:

Expected Income from sale of vehicles 2009/2010

Kshs

Receipts from the Sale of Vehicles and Transport Equipment

15,584,640

Receipts from the sale of Vehicles and Transport Equipment – Paid as Exchequer

  1,726,000

For avoidance of doubt, we go one step further and show you the Motor Vehicle expenditure budget for last two financial years (2008/2009 and 2009/2010).
source: Estimates of Recurrent Expenditure of the Government of Kenya (2009-10)

 

 

 

GRAND COALITION GOVT. EXPENDITURE ON CARS

2008/2009

2009/2010

TOTAL

Purchase of Vehicles and Other Transport Equipment

3,336,455,051.00

2,110,174,736.00

5,446,629,787.00

Routine Maintenance – Vehicles and Other Transport Equipment

1,827,445,679.00

1,954,482,630.00

3,781,928,309.00

Overhaul of Vehicles and other Transport Equipment

254,867,886.00

260,561,857.00

515,429,743.00

Fuel Oil and Lubricants

3,530,633,362.00

3,688,151,883.00

7,218,785,245.00

TOTAL SPENT ON CARS

8,949,401,978.00

8,013,371,106.00

16,962,773,084.00

 

Mr. Chairman: Where are the savings?

Mr. Chairman: The Kenyan tax payer expects truthfulness from its Ministry for Finance.  If there was an intention to implement this new policy for the stated purposes then the fuel, overhaul, routine maintenance and purchase budgets would provide evidence of the cost cutting.  Instead the overall expenditure on three of these items (fuel,overhaul and routine maintenance) actually increased.

Mr. Chairman: If the minister were serious that his actions on the new motor vehicles was to save money, would this not have been reflected in his estimates for the financial year 2009/2010? But fuel has gone up to 3.6 Billion Kenya shillings, he has provided over 2 billion Kenya shillings for buying new cars, almost 2 Billion shillings to maintain the new cars. In fact so extravagant is this minister that he has allocated over 3 billion shillings for hospitality- samosas and cigars for the grand government. All this while our brothers and sisters are still in IDP camps.

Mr Chairman: The Minister for finance presented a budget full of waste. In our calculations it consists of over 240 Billion Kenya Shillings of wasteful expenditure. The minister of Finance has failed to provide resources for Agenda 4 of the National Accord. The Committee must interrogate the 2009 /2010 budget with a view to amending the appropriations bill which is before this Honourable house this month – November 2009 to provide money for Agenda 4 reforms. This can be done by scrapping all wasteful expenditure.

Mr Chairman: The National Accord reforms are a matter of life and death to millions of Kenyans. This Grand Coalition Government has the mandate only to deliver the National Accord Reforms. It should reflect its willingness to implement these reforms by bringing to this honourable house a budget that reflects the National Accord reforms and in particular the Agenda number 4.

Mr. Chairman: Recall, that we found substantial discrepancies in both supplementary budgets presented this year in May for the FY 2008-9.  Recall also that Parliament unanimously ordered an independent Forensic Audit into the National Budget going back three years. This Audit is yet to begin 6 months later. Kenyans want the forensic audit ordered by Parliament to commence immediately so that we know our true financial position and not continue to operate in ignorance as Treasury is keeping us.  We seek your Committees support for the immediate commencement of the Independent Forensic Audit, and your lobbying the Implementation Committee in this regard.

CMC HOLDINGS LIMITED AND EXTERNAL DEBT ISSUES:
Mr. Chairman: The current Passat controversy revolves also around the Treasury’s unusual decision to procure apparently without any competition 120 VW Passats from one motor dealer – CMC Holdings Limited. 

Mr. Chairman: There are too many things Kenyans don’t know about this contract.  It isn’t listed on the Public Procurement Oversight Authority website.  Treasury hasn’t told the public the terms of the agreement.  Kenyans don’t even know how the CMC dealer will be paid.  In reality all we know is that Government has taken delivery and is distributing over 120 cars from CMC, which has yet to be paid according to an interview with its Chief Executive Officer by The Star newspaper of November 4th 2009.

Mr. Chairman: This company, CMC, features in the external debt register as having lent the Government USD 24.2 million dollars for the purchase from it of 522 Land Rovers for the Office of the President in June 2003.  Treasury issued 25 irrevocable promissory notes in this transaction to CMC and later the debt was held and collected on by Standard Bank London UK who held the irrevocable promissory notes.  Below are extracts from the Government of Kenya’s Statement of Public Debt where CMC Limited and Standard Bank London are listed as creditors to the Government of Kenya.  Repayments are indicated as having taken place as follows:

Creditor:  CMC Limited/ Standard Bank London – Supply of 522 Land Rovers to the Office of the President

Loan US$ 24.2m – Status

2002

2003

2004

2005

2006

Outstanding

887,838,124.00

1,456,640,620.00

0.00

0.00

0.00

Repaid

0.00

0.00

1,918,951,745.00

0.00

0.00

 

 

 

Source: GOK Statement of Public Debt 2002-6 – Ministry of Finance

Mr. Chairman:  Without transparency about the terms of the Passat deal Kenyans fear that this could blow up in our faces at some time in the future in the Anglo-Leasing vein with a new debt appearing on our External Public Debt Register in the future?  CMC’s CEO is reported as stating that his firm hasn’t been paid yet, so it is important that your Committee ask the Minister of Finance for the terms of the purchase and after service contracts which have presumably been executed.

Mr. Chairman: We request that your Committee support Hon. Gitobu Imanyara’s June 3rd request for the tabling of the Statement of Public Debt for the years 2007, 2008 and 2009 which will reveal what borrowings have been undertaken by the Government of Kenya.  The Treasury has claimed that the document sought is voluminous which is not true. Mars group Kenya obtained the same for several years in 2007 from the Permanent Secretary for Finance, through the Head of Debt Management at the Treasury and it was submitted by letter in an official A4 envelope.  Parliament must have these vital documents in order to fulfil its representative function in querying odious debts such as Ken Ren Fertiliser Factory in the National Budget.  Incidentally, Ken Ren was condemned by the Controller and Auditor General’s Report which the Minister of Finance himself tabled in Parliament in June this year. 

Mr. Chairman: All these matters require a longer probe than the short one you have embarked on and we are sure the public would appreciate your solidarity in demanding that Treasury and the Ministry of Finance is fully accountable to Parliament by submitting to the Independent Forensic Audit immediately.

Mr. Chairman: We insist that the External Debt register (in the form of the updated Statement of Public Debt) be tabled in Parliament immediately so that we know what the Grand Coalition Government has borrowed and paid on our behalf. Treasury was asked for the document in Parliament on June 3rd this year and to date has refused to table it in Parliament as a public document for scrutiny. 

Mr. Chairman: Kenyans deserve answers from the Ministry of Finance and Treasury, and we are grateful that this Committee is prepared to ask the questions.

Mr. Chairman: Finally, it is our considered view that a censure motion against the minister of finance is deserved. Kenyans simply don’t trust the current minister of finance with the management of our public resources. 

Mr. Chairman:  We trust our information will be useful to you in your ongoing enquiry and hope that it will contribute towards the ability of the National Assembly watchdog role over the funds of the Kenyan people.  We appear before you in good faith.  We mention this because during the Supplementary Estimates enquiry some members of Parliament held public rallies to condemn us and one member used his privileges to attempt to implicate us on the floor of the House in the high crime of espionage.  We do what we do because we believe in parliamentary democracy and accountability, and are only desirous to make Kenya a better governed and corruption free country.  That is the only way we will develop in an equitable manner.  Kenya belongs to all Kenyans not just the rich and powerful.  The people own the Government and its funds.

Mr Chairman: We are grateful to your Committee, our elected representatives, for taking time to hear us.  With your kind permission we wish to support our Memorandum with supporting documents which we will take you through now.
Dated at Nairobi this 6th day of November 2009, and signed: for the Partnership for Change

Jayne Mati                                           Cyprian Nyamwamu                            Mwalimu Mati

Related Documents

  1. Approved Total Expenditure GOK 2008/2009
  2. Estimates  – Total Expenditure GOK 2009/2010
  3. Approved AIA – 2008/2009
  4. AIA  – 2009/2010
  5. GOK Motor Vehicles Establishement at 2008
  6. Purchase of Vehicles 2009/2010
  7. Fuel, oil lubricants 2009/2010
  8. Routine Maintenance Vehicles 2009/2010
  9. Overhaul of Vehicles 2009/2010
  10. Loans by year as tabled by Peter Kenneth
  11. Loans as tabled by Peter Kenneth by Creditor
  12. Ken Ren Repayments
  13. Statement Ministry of Finance
  14. Daily Nation story ‘Treasury Denies’
  15. Daily Nation Story   ‘Public vehicles on sale at throw away prices’
  16. Debt Register – CMC and Standard Bank
  17. Memorandum

 

 


We Are Ready to Lead: Partnership for Change Statement on the Liberation of Kenya by the Citizens of the Republic of Kenya. Issued at Nairobi 29th October 2009

WE ARE READY TO LEAD: PARTNERSHIP FOR CHANGE STATEMENT ON THE LIBERATION OF KENYA BY THE CITIZENS OF THE REPUBLIC OF KENYA. Issued at Nairobi 29th October 2009

So as we approach our first anniversary on 5th November 2009, The Partnership for Change wants to declare to our leaders, that we are now ready to take you on. There are many of us who can lead, many who are not corrupt, many who have integrity and that you our leaders have nothing to offer Kenyans. Your time is up. You are finished!

THE NATIONAL ACCORD REFORMS AND THE REAL DANGERS OF A NEGOTIATED SURRENDER

Conciliation, Compromise, and Negotiations
When faced with the shocking violence that Kenyans saw at the beginning of 2008 after the botched election of December 2007, some Kenyans lapsed into passive submission.
Others, seeing no prospect of achieving democracy, concluded they must come to terms with the apparently permanent culture of impunity, hoping that through "conciliation," "compromise," and "negotiations" they might be able to salvage some positive elements and end the brutalities on Kenyans that were at the time happening on an hour to hour basis.  On the surface, lacking realistic options, there was appeal in that line of thinking.

 Undemocratic option of a negotiated agreement
And so, came the National Accord of February 28th 2008, a pact signed by Mwai Kibaki and Raila Odinga the two principals and witnessed by millions of Kenyans on national television.  Kenyans accepted this undemocratic option of a negotiated agreement, temporarily waiving their Constitutional right to a democratically elected Government, reasoning that -Why is it necessary to go the violence route? Couldn’t everyone just be reasonable and find ways to talk, to negotiate the way to a gradual end of impunity? Couldn’t Kenyans appeal to Kibaki and Odinga’ sense of common humanity and convince them to reduce their domination bit by bit, and perhaps finally to give way completely to the establishment of a democracy?

 "win-win" solution
It is now argued that the truth is not all on one side. Perhaps Kenyans misunderstood the two Principals, who said they acted from good motives in difficult circumstances? Or perhaps some may think, the principals would have gladly removed themselves from the difficult situation facing the country if only they were given some encouragement and enticements. But, the truth as may be argued is that the two Principals were offered a "win-win" solution, in which everyone gains something. The risks and pain of further struggle was unnecessary, it may be argued, if the Kenyan people were willing to settle the post election conflict peacefully by negotiations which were assisted by skilled panel of African Imminent personalities and the International Community.

The negotiated Agreement is yet to be implemented
Now, two years after the signing of the National Accord, The negotiated Agreement is yet to be implemented. The offer by the two Principals of "peace" through negotiations with the people of Kenya was, of course, rather disingenuous. The violence could have been ended immediately by the Mwai Kibaki and Raila Odinga themselves, if only they wanted to stop waging war on their own people. They could have at their own initiative with  out any bargaining restored respect for human dignity and rights, allowed the population to protest, halted police brutality, stopped the rape of women, and apologize to the people. They would have most certainly ensured that all Kenyans were registered to vote.

Kenyans should be wary of the traps that may be deliberately built into a negotiation process by politicians. The call for the National Accord, when basic issues of political liberties were involved may have been an effort by the politicians to induce Kenyans to surrender peacefully while the violence by the Grand Coalition Government continued.

On some basic issues such as civil liberties, there should be no compromise
When the issues at stake are fundamental, affecting democratic principles, issues of human freedom, or the whole future development of Kenya, negotiations do not provide a way of reaching a mutually satisfactory solution. On some basic issues such as civil liberties, there should be no compromise. Only a shift in power relations in favor of the Citizens of Kenya can adequately safeguard the basic issues at stake. Such a shift will occur through struggle, not negotiations such as the National Accord.

Negotiations are not a realistic way to remove a strong culture of Impunity
This is not to say that negotiations ought never to be used. The point here is that negotiations are not a realistic way to remove a strong culture of Impunity in the absence of a powerful democratic opposition by the Citizens of Kenya. The two Principals- Mwai Kibaki and Raila Odinga are operating in a culture of Impunity where they, feel secure in their position and may refuse to implement the negotiated National Accord Agreement. Indeed we argue that Kibaki and Odinga have failed to deliver on the National Accord reforms.

Whatever promises offered by Mwai Kibaki and Raila Odinga in the National Accord Agreement, and however much time we give them, no one should ever forget that Mwai Kibaki and Raila Odinga  may promise anything to secure submission from people of Kenya, and then brazenly violate that same agreement. "For the tyrant has the power to inflict only that which we lack the strength to resist,"

WE WANT NON VIOLENT DEMOCRATIC SOLUTIONS TO KENYA’S PROBLEMS.

Kenya is a multi party Democracy! We elect our leaders through a democratic dispensation through the ballot. The people of Kenya give their government its right to govern. The way in which this right is obtained is important. If there is any doubt about the legitimacy of the process, then people can question this authority. Free and fair elections are of great importance wherever leaders seek to legitimise their power through the electoral process. An illegitimate electoral process can lead to a lack of accountability and therefore a climate of corruption, Impunity and lack of interest in governing justly.

long-term historical and societal injustices
Kenyans are vigorously debating age old questions related to justice and forgiveness, because Kenyans after the last General Election experienced the grossest violations of human rights and incidences of grand corruption since our Nation’s Independence on December 12th 1963.  Since February 28th 2008 we have had a Grand Coalition Government whose sole mandate was to address long-term historical and societal injustices in Kenya and to enquire into these grievances to identify and punish the perpetrators so that never again can such violations or corruption occur with impunity. 

 democratic and accountable state.
Kenyans are weary those inquiries into real crimes have led nowhere and that the perpetrators enjoy freedom from justice because of their high political and social connections in Kenya.  The Partnership for Change is completely opposed to impunity of any sort, and decided to mobilize Kenyans to insist on the Rule of Law by which criminal behaviour will be punished regardless of the social status of the criminal.  The chosen method of struggle against impunity is non-violent resistance and actions to educate Kenyans of their constitutional and human rights, and ultimately to create a democratic and accountable state.

Nonviolent resistance
In recent years various dictatorships around the world have collapsed or stumbled when confronted by defiant, mobilized people. Often seen as firmly entrenched and impregnable, some of these dictatorships proved unable to withstand the concerted political, economic, and social defiance of the people. The Partnership for Change has been mobilizing Kenyans since 5th November 2008 and has grown into a large peoples non violent movement for Change.

Nonviolent resistance will further the movement toward democratization. The Partnership for change deals with problems affecting Kenya including poverty, crime, bureaucratic inefficiency, environmental destruction and impunity which are the legacy of the brutal regimes we have had since Independence. The Partnership for Change intends to lift the suffering of the victims of oppression, and open the way for the rebuilding Kenya with greater political democracy, personal liberties, and social justice.

Culture of impunity runs deep
Unfortunately, for Kenya, though we have since 1992 chosen the path of plural democracy and constitutionalism, the past is still with us. The culture of impunity
runs deep, and Kenyans having experienced decades of oppression have developed a culture of unquestioning submission to authority figures and politicians. The social, political, economic, and even religious institutions of the society – outside of state control – have been deliberately weakened, subordinated, or even replaced by new regimented institutions used by the state to control the society.

The Kenyan population has over time been atomized (turned into a mass of isolated individuals) who are unable to work together to achieve freedom, to confide in each other, or even to do much of anything at their own initiative. The result of this process is predictable: the Kenyan population becomes weak, lacks self confidence, and is incapable of resistance. Kenyans are often too frightened to share their hatred of impunity and their hunger for freedom and accountability even with family and friends. Kenyans are often too terrified to think seriously of public resistance. In any case, what would be the use? Instead, Kenyans face suffering and poverty without purpose and a future without hope.

In the past, some Kenyans have attempted resistance. Short lived protests and demonstrations by Civil Society have occurred and crushed by the Government. Perhaps spirits soared temporarily. At other times, individuals and small groups have conducted brave but impotent gestures, asserting some principle or simply their defiance. However noble the motives, such past acts of resistance have been insufficient to overcome the Kenyan Citizens’ fear and habit of obedience, a necessary prerequisite to destroy the culture of Impunity. Sadly, these acts have brought arrests and harassment of Partnership for change agents by the Kenya police, a multitude of unconstitutional cases with huge financial implications in bail funds, but not victories or even hope.

Ending impunity and restoring democratic accountability.
The culture of impunity thrives in Kenya because of the inequitable internal power distribution. The population is too weak to cause the Government and politicians any real problems. Wealth and power are concentrated in too few hands. The Partnership for Change wants to help Kenyans to change the situation for the better by teaching Kenyans non-violent methods to demand the end of impunity and restoration of democratic accountability.

The Partnership for Change is

  • strengthening the oppressed Kenyan population themselves in their determination, self-confidence, and resistance skills;
  • strengthening the independent social groups and institutions of the oppressed Kenyan people;
  • creating a powerful internal resistance force; and
  • Skilfully implementing a wise grand strategic plan for the liberation of Kenya.

Against a strong self-reliant force, given wise strategy, disciplined and courageous action, and genuine strength, the culture of impunity will eventually crumble. Liberation from greedy, selfish leaders ultimately depends on the people’s ability to liberate themselves.

The cases of successful political defiance-or nonviolent struggle for political ends indicate that the means do exist for populations to free themselves. The liberation struggle for Kenyans is a time for self-reliance and internal strengthening of the population of Kenya to demand collectively – Democratic Accountability in our Country.

It is in every Kenyans’ enlightened self interest to be actively involved in the Governance of our Country. The Partnership for Change believes that Change will come to Kenya when every Individual Kenyan understands and acts in their best interest.

THE PARTNERSHIP FOR CHANGE AND THE POWER OF THE PEOPLE OF KENYA

Achieving a Kenya with both freedom and peace is of course no simple task. It will require great strategic skill, organization, and planning. Above all, it will require power. The Partnership for Change cannot hope to bring down Impunity and establish political freedom without the ability to apply the power of the people of Kenya effectively.

But how is this possible? What kind of power can the Partnership for Change mobilize that will be sufficient to destroy Impunity and restore democratic Accountability? The answers lie in an oft ignored understanding of political power.

The principle is simple. The Culture of Impunity requires the assistance of the people of Kenya, without which Politicians cannot secure and maintain their sources of political power. These sources, however, depend on acceptance of the leadership, submission and obedience by the people of Kenya. These are not guaranteed.

Without availability of those sources, the Politicians’ power weakens and finally dissolves. Naturally, our greedy leaders are sensitive to actions and ideas that threaten
their capacity to do as they like. The Government is therefore likely to threaten and punish those who disobey, or fail to cooperate. However, that is not the end of the story. 

“Totalitarian power is strong only if it does not have to be used too often. If totalitarian power must be used at all times against the entire population, it is unlikely to remain powerful for long. Since totalitarian regimes require more power for dealing with their subjects than do other types of government, such regimes stand in greater need of widespread and dependable compliance habits among their people; more than that they have to be able to count on the active support of at least significant parts of
the population in case of need.” Karl W. Deutsch 1953:

We are fighting back
The mission of the Partnership for Change is to advance the strategic use of non-violent action in calling upon the Kenyan Citizen to demand the End of Impunity, Restore Democratic accountability and to end Dictatorship in Kenya. It is time for Change. Real and meaningful Change.- We are determined to get that Change. Yes we can!
The Partnership for Change membership is the individual Kenyan citizen. Man, woman and child. We are millions of Kenyans who want change.  We have great political significance. We will exert influence over the direction of our Country and we will resist the government when it impinges unjustly on our interests, activities, or purposes. We will disintegrate and weaken impunity by courageous massapplication of political defiance by us, the population – the citizens of this Republic.
We are ready to take you on
So as we approach our first anniversary on 5th November 2009, The Partnership for Change wants to declare to our leaders, that we are now ready to take you on. There are many of us who can lead, many who are not corrupt, many who have integrity and that you our leaders have nothing to offer Kenyans. Your time is up. You are finished!

Download PDF Here

 

Mwalimu Mati
Partnership for Change
Nairobi 29th October 2009

 

The Partnership for Change Message for Madaraka Day – 46 Years Later It’s Not Yet Uhuru but Change is Coming.

THE PARTNERSHIP FOR CHANGE MESSAGE FOR MADARAKA DAY – 46 YEARS LATER IT’S NOT YET UHURU BUT CHANGE IS COMING.

Nairobi 1st June 2009

Summary: Madaraka was meant to;
- give Kenyans sovereignty over their political affairs and their resources
- give Kenyans a Bill of Rights to be enforced by an independent judiciary
- create a democratic, prosperous & just Nation where the rule of law prevails

46 years ago today, a handover took place at a ceremony in Nairobi, Kenya, between the British colonial government and an elected government headed by the leader of the Kenya African National Union, Jomo Kenyatta, as Prime Minister of Kenya. That day June 1st 1963 has since then been commemorated annually by Kenyans as Madaraka (Internal Self Government) Day. It is the day that Kenyans knew their independence would shortly come.

Six months later on December 12th 1963 (Jamuhuri or Republic Day), Kenya attained independent dominion status within the British Commonwealth under a constitution that was negotiated and agreed at three multi-party Constitutional Conferences held in London and Nairobi between 1961 and 1963. At the stroke of midnight all eligible persons in the country became citizens of Kenya by birthright – in the case of those born after midnight – by naturalisation or by application.

Jomo Kenyatta remained Prime Minister until December 12th 1964 when further constitutional changes declared that Kenya would henceforth be a Republic with Jomo Kenyatta as the first President of Kenya. Kenyatta was president for 15 years. The Prime Ministership was abolished, and there have only been two more Kenyan Presidents since then – in 46 years – Daniel Arap Moi who was President between 1978 and 2002 (24 years); and Mwai Kibaki who is serving his 7th year as President.

Since that first Madaraka Day, Kenyans have been trying to secure the benefits of internal self-governance, democracy and prosperity for the people of Kenya. Sadly, 46 years later, Kenyans are still suffering from the ills of a colonial like state which instead of healing, feeding, and educating and securing the people; oppresses steals and even kills often and with impunity.

Kenyans know that freedom is not free, and that they have to unite as they did before Independence for freedom. Several times in our history we have been reunited in the push for true Uhuru. Immediately after the first Madaraka Day the struggle to preserve the vision of land and freedom was led by the Kenya People’s Union against KANU, and throughout the 1960s and 1970s by patriots like Pio Gama Pinto, Josiah Mwangi Kariuki and the students and dons of Kenya’s universities. This was defeated by brute force and assassinations. In the 1980s the resistance to section 2A of the Constitution involved agitation for the end of the one party KANU dictatorship of Daniel Arap Moi. Most recently, there was the rejection of KANU in 2002, and the election of the National Rainbow Coalition which was Kenya’s first pre-election pact coalition government, and which developed an Economic Recovery and Constitutional Reform strategy and plan which was frustrated by selfish political manoeuvre. Today Kenyans are striving to overcome the political, economic and governance crisis which emerged after the botched presidential election of December 27th 2007, and this struggle is assuming a dimension of generational leadership change in the form of a “citizen’s in charge” movement.

Throughout the darkest days, Kenyans have always known that they are Kenyans and that as such they have rights which are given to them by their Constitution. They have consistently since Independence resisted against a leadership that sought to oppress them as the colonial state did. They have however suffered greatly in this resistance. Many Kenyans have been detained without trial, subjected to rigged trials, exiled, tortured and even been killed and tortured in the past 46 years.

On 12th December 2008, citizens through the Partnership for Change declared that they were going to take charge of democratising and freeing their country for themselves. The Partnership for Change has since November 2008 been implementing a six-point agenda of advocacy and public education on the National Accord, Fundamental Human Rights, the National budget and Debt, Citizens’ Responsibility and Ending Impunity. These agenda items are covered in the National Accord of February 28th 2008, which established the Grand Coalition Government led by President Mwai Kibaki and Prime Minister Raila Odinga.

WHAT IS THE CONTENT OF OUR NATIONAL ACCORD?

Agenda One of the National Accord:
- restoration of civil and political liberties
- cessation of violence against and between citizens

Agenda Two of the National Accord:
- resolving the post election humanitarian crisis
- reconciliation and national healing

Agenda Three of the National Accord:
- overcoming the political crisis

Agenda Four of the National Accord:
- overcoming long term issues and providing solutions to mass poverty and unemployment, land reform, regional imbalances, and equity
- addressing national cohesion and reconciliation, transparency and accountability, constitutional reform, institutional reform of Parliament, the Judiciary and the Internal Security Apparatus including the police

The Grand Coalition Government has failed to keep the timelines and to deliver the National Accord. We believe that implementing the National Accord and the agenda of the Partnership for Change will ensure the delivery of the vision of Madaraka Day and Uhuru. We have committed ourselves to use all our constitutional freedoms to advocate and educate Kenyans on our agenda for the prosperity and freedom of all citizens. In this, as people and citizens of Kenya, we shall act without waiting for the political leadership who have failed us before time and time again.

Recognizing that Madaraka Day 1963 made us citizens with inalienable rights, the Partnership for Change shall over the next 6 months up to December 12th 2009 mount a nation-wide campaign to restore the Madaraka Day vision of democratic accountability and urge Kenyans to resist dictatorial impunity. If we succeed, at a minimum the fundamental rights of every Kenyan will be respected and protected by the state and its agencies on pain of prosecution for any one regardless of status, who violates the rights of a Kenyan citizen. Our rights are not negotiable.

The Partnership for Change holds the position that the National Accord and not Vision 2030 is the country’s Blue Print for national development and ultimately salvation. On this 46th Madaraka Day, we restate that the full implementation of the National Accord is non-negotiable and the Grand Coalition Government so long as it remains incapable, or refuses, to implement the National Accord has no moral authority to remain in place, bearing in mind it is created by a political pact and not by a democratic election result. To stimulate peaceful and democratic change in Kenya, we shall support people’s struggle and initiatives for a better Kenya in the following ways:

1. We shall work to raise awareness of public resources management discipline in order to identify and secure financial and other resources for the achievement of Agenda 4 of the National Accord. In this regard we are campaigning to rationalise the budget and to achieve at least 60% of the budget is secured for development spending; and are also advocating for a comprehensive external debt relief agreement for Kenya.

2. We shall work and campaign as citizens, educating others and asserting our fundamental freedoms as detailed in Chapter V of the Constitution (Bill of Rights) and in particular calling for the unequivocal and full implementation of the full implementation of the Report of the Waki Commission of Inquiry into the Post Election Violence and the Alston Report to the 11th Session of the United Nations Human Rights Council on Summary and Extra Judicial Killings to end impunity in Kenya and to ensure that for the first time in Kenya’s history since Independence all public institutions and public officials are held accountable, and work to promote and defend human rights.

3. We shall work with grassroots Kenyans to educate Kenyans, organise forums that are driven by the citizens themselves- on how to full participate and consult with each other to participate in decision making, public finance, to protect and preserve democracy, ensure honest and effective representation in Parliament and the local governance structures and indeed all governance structures.

4. We shall advocate for the need for impartial application of the rule of law. Kenyans are born equal, regardless of the political opinion, ethnic origin or social status.

5. We shall develop plans and policies for institutional responses to deal with impunity including enhancing public monitoring and record keeping of the government operations related to public finance management and the as regards the fundamental human rights

6. We shall support the call by the people of Kenya for their immediate democratic re-enfranchisement and their right to an elected government.

WE SHALL ACT FOR THE FOLLOWING REASONS AND GROUNDS:
We shall do this because the Grand Coalition Government must be pushed to deliver on its duty to Kenyans as expected in the National Accord. We shall do this because it is our right to demand for the full implementation of the National Accord. Failure to implement the National Accord constitutes grounds for a fresh election, and the Grand Coalition Government has failed in the following respects:

Failure to keep Timelines:
- It has failed to keep the timelines to deliver the promise of the National Accord. Constitutional Review within 12 months has been overlooked hence the stalled institutional reforms in the judiciary, in parliament and the representation of the people, dealing with regional imbalances and the public finance systems;
- It has failed to establish the Special Tribunal for Kenya to punish the persons bearing the greatest responsibility for crimes against humanity committed in Kenya during the Post Election Violence period (December 2007 to February 2008) during which 1,133 Kenyan were murdered and hundreds of thousands were displaced.
- It has failed in 15 months to settle the internally displaced victims of the post election violence leaving hundreds of thousands of Kenyans exposed to untold suffering daily, indefinitely.

Failure to Protect Kenyans and End Extra Judicial Killings
- It has failed to demobilise militias, and dismantle organised crime syndicates and gangs, which continue to murder, extort and maim with impunity.
- Extrajudicial killings by the Kenya Police continue and no one is being punished for this illegality which has lead to the deaths of hundreds of Kenyan young men and women. Torture of persons in official custody remains a practice within the police and other disciplined forces, and torturers have impunity. Police reforms are still pending and on June 2, 2009 the UN special Rapporteur on Enforced disappearances shall present a damning report on Kenya. Shockingly during the Madaraka day celebrations, neither the President nor the Prime Minister had anything to say on this – in prominent attendance at the celebration was the Police Commissioner who has several times been indicted by independent and official reports. The Attorney general who has been described by the UN Special Rapporteur as the embodiment of impunity remains in office after 19 years, and presumably for life.

Failure to Secure Protection of Law and Access to Justice
- There have been no efforts to improve access to justice for the majority of the population. Whereas over the past 15 months the Grand Coalition Government increased the administrative districts to over 209; it has failed to provide the people with courts and today there are only 58 High Court Judges, and 287 Magistrates for a population of 38 million citizens. The backlog of cases according to the Ministry of Justice stands at over 800,000! 46 years after independence, Kenyans are denied justice as a majority face criminal charges without any legal aid or assistance by qualified lawyers.
- Prisons were built to hold 16,000 inmates at a time. Today they hold over 64,000 convicts and every day about 45,000 Kenyan citizens are held by the police in cells under inhumane and degrading conditions.

Failure to Address Long Term Issues
- The Grand Coalition Government has failed to tackle poverty and inequality. It has failed to deliver on its promise to generate 740,000 new jobs each year from 2008 to keep up with youth unemployment which is now a national security threat. Training colleges have been shut down for lack of funds while the Grand Coalition Government continues to increase recurrent expenditure on hospitality and conspicuous consumption.
- The Grand Coalition Government has failed to consolidate national cohesion. It has failed to criminalise hate speech by law and in fact it has allowed politicians and public officers to verbally abuse and scandalize those who point out its faults. The Kiambaa victims’ mass funeral which was avoided by the national and local leadership of the Orange Democratic Movement, and shoddily managed by State House shows how far the nation is from national healing.
- The Grand Coalition Government has failed to institute the much desired and needed land reform and is engaged in a sham discussion to shield its members’ vested interest in the status quo where formally public lands remain in private hands illegally; a fact extensively documented by among others the Ndung’u Land commission report of 2004.
- The Grand Coalition Government is incapable of fighting corruption and has indeed institutionalized impunity for gross economic crimes by shielding perpetrators from persecution and by incorporating perpetrators of corruption in its highest political and public offices. Today, more than half of the cabinet ministers of the GCG are implicated in Grand corruption charges and are yet to be cleared. A corrupt government can not deliver Agenda 4 of the National Accord.

Failure to control Public Debt:
- The Grand Coalition Government has committed 24% of national Budget to debt redemption and is increasing our domestic debt from Kshs. 670.8 billion to Kshs. 827.4 billion and since 1963 Kenya has borrowed over Kshs. 1 trillion with little to show for it. It is now imperative that we have full accountability and transparency in our debt. The Partnership for Change shall demand that Kenyans are told whom we owe and for what purpose we owe. We shall campaign that we as a country should undertake no further debts until the government of Kenya accounts to the people through Parliament. A quick look at our statement of external debt reveals huge borrowings and repayment to the tune of over a trillion shillings for development infrastructure that has never been built. Most of the loans did not have proper parliamentary authority and went to private hands leaving Kenyan tax payer to pay for value un-received. Disturbingly, the Grand Coalition Government has made it its policy to borrow to fund its recurrent expenditure.
- The Partnership for Change takes exception with the Bretton Woods institutions which choose to ignore the public evidence that the Kenyan Government is neither transparent nor accountable in public finance management and that there are odious debts on our books. Even though the Partnership for Change alerted the Executive Board of the International Monetary Fund as to the presence of odious debt our books, and the history of pathetic management of public resources by Treasury, the International Monetary Fund’s immediate response to this call was to lend the Government of Kenya twice the amount it wished to borrow.

The Partnership for Change shall play Its role in offering information, organising the people and providing the tools for holding public officials and state institutions accountable so that by December 12, 2009, Kenyan citizens shall have made a breakthrough.

Partnership for Change
Nairobi 1st June 2009

Submission to the Joint Parliamentary Committees Enquiring into Matters Arising from a Request for a Ministerial Statement by Hon. Gitobu Imanyara Related to the Supplementary Budget Estimates 2008-9

This submission is on behalf of the Partnership for Change a non-violent people’s movement dedicated to ending dictatorial impunity and re-establishing democratic accountability in Kenya. To better engage the public with public finances we study budgets at central and local levels. When the Supplementary Estimates were first made public we formally communicated in writing to the Budget Committee our concern about the short time given for scrutiny of the Supplementary Budget and suggested that detailed scrutiny would identify any inconsistencies or improper provisions ahead of Parliamentary approval. Unfortunately the supplementary estimates were approved in one afternoon and no member of parliament opposed them.

As we researched the Supplementary Estimates we asked the following questions:

Where is the authority for Variation of what Parliament approved last year?

Where is the authority for the reallocations?

Even though all variations are supposed to be accompanied by explanatory notes why is it that nowhere is there an explanatory note for over 200 items for Ksh 9.6 billion?

Hon. Gitobu Imanyara raised this matter in Parliament on May 5th 2009. The Finance Minister’s first reaction was to issue a 6 page statement in the National Assembly, in which he strenuously defended the integrity of the supplementary estimates as laid in the House, and further questioned the motives of both Imanyara and other private citizens for airing concern. The Finance Minister did not admit to any error before the House and Mr. Imanyara was dissatisfied with the statement as were many Kenyans.

Wisely the Speaker of the National Assembly referred this matter of the Ksh 9.6 billion to your Joint Committee. When he first asked his question Mr. Imanyara tabled 20 questionable budget line items and on Wednesday he tabled a list of 200 such items worth just over Ksh 9.6 billion. Speaker Kenneth Marende has referred this grave matter to both the Budget Committee and the Finance Committee ordering them to inquire into the Minister of Finance’s Statement and report back to the House on Tuesday May 12th 2009 whether or not there are inconsistencies between the estimates of June 2008 and those of April 2009. We do not believe that computer error is at play here – it is an afterthought having failed to convince Parliament 48 hours ago. We believe that if computer error were to blame, the very first response of the Minister would have been to check with his officers and thereby prevent the false statement being read in Parliament. They would have found the error in a matter of seconds certainly a shorter time than it took to draft and print the statement he issued on Wednesday May 6th 2009. Because he did not conduct any check the Statement he issued needlessly mislead Parliament and the country further. Worse it defamed private patriotic persons who were not at fault.

But to the matter at hand. The Supplementary Appropriations Bill is based on contentious documents and Parliament must satisfy itself that it is proceeding on the basis of a full and frank disclosure of the facts by the Ministry of Finance. We do not believe he is being frank. The recent explanation of last night and this morning is a mere after thought after being confronted with evidence of a systematic inflation of the total amounts approved by Parliament by concealing Ksh 9.6 billion from Parliament while at the same time seeking a further Ksh 26.7 billion on the same budget line items. This is a grave matter and requires further investigation, and we urge you to consider it imperative to the restoration of trust and faith in the management of the public finances of the Government and by extension Republic of Kenya.

The Finance Minister questioned Mars Group’s integrity. The Budget campaign is a campaign of the Partnership for Change. MARS Group was commissioned by the P4C to conduct the research. The findings were studied and adopted by the Partnership for Change and therefore as the P4C, we stand by our work and by the reputation of Mars Group. Unfortunately the Minister’s figures do not add up. On the basis of his own documents as Minister for Finance, the question is are Kenyans satisfied that the documents of account being prepared by Ministry of Finance officials are true and further meet proper accounting standards?

There are over 200 such budget line items involved across 35 Ministries and the total figure in dispute is just over Ksh 9.6 billion which was removed from the Approved Estimates for unknown reasons. The following recurrent budget line items have discrepancies which require explanation:

1. Personal Allowance paid as Part of Salary

2. Training Expenses

3. Hospitality Supplies and Services

4. Domestic Travel and Subsistence and Other Transport Costs

5. Office and General Supplies and Services

6. Research, Feasibility Studies, Project Preparation and Design, Project Supervision

7. Purchase of Office Furniture

8. Routine Maintenance

9. Printing, Advertising and Information Supplies and Services

10. Communication, Supplies and Services

11. Utilities Supplies & Services

12. Office and General Supplies and Services

13. Fuel Oil and Lubricants

These are the same budget lines that generally have caused public concern as the economic situation in Kenya deteriorated. Unfortunately most of the budget line items which are now contentious relate to the allowances of our teachers, police officers, administration police officers, prison officers, nurses and other decent hard working civil servants. We would like to submit to you the list of budget line items in the recurrent supplementary budget that require further scrutiny even as we urge you to constitute a further probe into the National budget including the estimates tabled in June 2008 and the supplementary estimates of April 2009.

Apart from the Ksh 9.6 billion there are over Ksh 4.89 billion inserted into the budget through the device of absolutely new budget line items which were not approved by Parliament in June 2008. There are also odious debts such as Ken Ren Fertiliser in the National Budget which has been condemned by the Controller and Auditor General’s Report which the Minister of Finance tabled in Parliament on Wednesday. All these matters require a longer probe than the short one you have embarked on and we are sure the public would appreciate your solidarity in demanding that Treasury and the Ministry of Finance is fully accountable to Parliament.

Recommendations:

1. A Forensic Audit of the Budget for 2008-9 is necessary because, on the face of it, there are material inconsistencies which perhaps indicate that public funds could have been misapplied. The computer/ printing error explanation is dubious and probably false – it does not address the doubt inherent in the Speaker’s initial order establishing this enquiry. In fact computers and printing machines do not make errors – no accounting software exists that properly used could produce such error. Treasury must take responsibility for this by subjecting itself to a forensic audit if it has nothing to hide.

2. The Forensic Audit should be conducted independently of Treasury. Perhaps the audit could be commissioned by these two committees and an expert Panel of the Institute of Certified Public Accountants of Kenya. Even the Treasury has hired PWC to conduct special audits of security contracting. The precedent is there, and the need is obvious, especially in view of the Treasury’s recent U-Turns over the past 4 days.

3. We would request an apology from the Ministry of Finance in view of their climb-down and the damaging statements made against us for merely pointing out error in the budget in the public interest.

4. We would recommend that only urgent critical and priority spending should be passed during the next phase of supplementary appropriation – the rest should await the National Budget of June 2009.

5. The Fiscal Management Bill should be assented to and these committees should request the President through the Speaker to so assent. This will reduce the monopoly over budgeting currently held by Treasury, which has caused this costly exercise.

6. Were this anywhere else in the world, we are sure that Treasury buildings resignations would be in order.

Dated at Nairobi this 8th day of May 2009, and signed: for the Partnership for Change

Jayne Mati

Cyprian Nyamwamu

Mwalimu Mati

From Dictatorial Impunity in Kenya to Democratic Accountability: Agenda of the Partnership for Change

FROM DICTATORIAL IMPUNITY IN KENYA TO DEMOCRATIC ACCOUNTABILITY

AGENDA OF THE PARTNERSHIP FOR CHANGE

National Accord – to advocate, and educate Kenyans on the need for, full implementation of all aspects of the National Accord of February 28th 2008 and particularly the full implementation of the Commission of Inquiries into post-election-violence (Waki), into the electoral process (Kriegler), the proposed Truth Justice and Reconciliation Commission and the National Ethnic and Race Relations Commission. Our position is that failure to implement the National Accord constitutes grounds for a fresh election of a Parliament and Executive for Kenya.


Fundamental Rights guaranteed by Chapter V of the Constitution of Kenya
– to advocate, and educate Kenyans on their rights as guaranteed by Chapter V of the Constitution of Kenya which contains the Kenyan Bill of Rights of the Individual. Our position is that at minimum the fundamental rights of the individual must be respected and protected by the State and its agencies, on pain of prosecution for violators. The constitutional reform process must adopt Chapter VI of the 2004 Bomas of Kenya draft Constitution without amendments.

National Debt – to advocate, and educate Kenyans on the need for full accountability and transparency in the External Public Debt Register which records all debts incurred by the Government of Kenya with international multi-lateral, bi-lateral and commercial creditors. Our position is that transparency requires Kenyans to know what they owe, to whom they owe, and for what purpose they have a debt. We want no further contracting of international debts unless and until the Government of Kenya accounts to the people of Kenya through Parliament by tabling the complete list of loans and debt registers for the period 1963 to date for public scrutiny. We want the law amended so that it is illegal for the Government to borrow without ex ante Parliamentary approval and full debate on the merits.

National Budget – to advocate, and educate Kenyans on the need for a reduction in the size of the Government of Kenya and the enactment of a statute pursuant to section 16 of the Constitution to cap the number of Executive Cabinet Ministries. To advocate, and educate Kenyans on the need for reduction of the recurrent expenditure of Government and the setting of ceilings on recurrent expenditure with appropriate sanctions for public officers responsible for exceeding such ceilings. To monitor public expenditure at national and local levels and to identify waste and corruption for the purposes of rationalizing the National Budget. We want an official policy requiring that at least 60% of the National Budget shall be allocated to development purposes and expenditure.

Citizens’ First – to educate Kenyans on the need for, full participation and consultation with citizens who are the engine of economic growth. In particular, to advocate the enactment of sunshine laws to facilitate citizens’ participation in public meetings and decision making, and to advocate the removal of restrictions on citizens’ freedoms of assembly and association for the purposes of organizing participation in public decision making. We shall educate Kenyans about their responsibility for the protection and preservation of democracy and their responsibility to ensure effective and honest representation in Parliament and all governance structures.

End Impunity – to advocate, and educate Kenyans on the need for the impartial application of the Rule of Law without discrimination or consideration of the social standing of the person(s) before the Law. To advocate for institutional responses to deal with impunity including enhancing public monitoring and record-keeping, introducing transparency regimes in public office; developing accountability mechanisms for public officers; changing the qualification and disqualifications for leadership criteria. We want an institutional design for the Government of Kenya that is capable of dealing with offences and does not condone impunity. We want restoration of democratic accountability with constitutional checks-and-balances to prevent dictatorial and corrupt tendencies in public offices.

The Partnership for Change

The Partnership for Change is an initiative of the Kenya Network of Grassroots Organizations (KENGO) and the Mars Group Kenya.

KENGO: a consortium of recognized active and registered development groups comprising of self-help groups, welfare groups, and community based organizations, clubs, churches, trade unions, NGOs and social movements based and operating in Kenya. With more than 2,000 member organizations, KENGO is established in 7 provinces in Kenya, and in the places where the poorest of the poor are.

Mars Group Kenya: a leadership, governance, accountability and media watchdog organization. It is an Internet based organization that monitors and tracks all public institutions and offices, and advocates for the end of impunity for gross human rights violations and grand corruption. With over 1.6 terabytes of information on its websites, Mars Group Kenya documents and disseminates information for evidence-based-bottom-up-advocacy and support to civil society.
www.marsgroupkenya.org has over 7,700 registered subscribers who include individuals in government, the private sector, civil society, media, academia and the international community.

Why the Partnership for Change?

Kenya is not free. But freedom is not free either.

No outside force is coming to give oppressed Kenyans the freedom that Kenyans so much want. Kenyans will have to learn how to take that freedom themselves. Easy it cannot be.

If Kenyans can grasp what is required for their own liberation, Kenyans can chart courses of action which, through much travail, can eventually bring Kenyans their freedom. Then, with diligence Kenyans can construct a new democratic order and prepare for its defense.

Freedom won by struggle of this type can be durable. It can be maintained by a tenacious Kenyan people committed to its preservation and enrichment.

Partnership for change.

The Partnership for Change
Mission Statement

The mission of the Partnership for Change is to advance the strategic use of nonviolent action in calling upon the Kenyan Citizen to demand the End of Impunity, Restore Democratic Accountability and to end Dictatorships in Kenya.

The Partnership for Change is committed to:

• defending democratic freedoms of all Kenyans and their institutions;

• opposing all forms of oppression, dictatorship, torture, international crimes, corruption, economic crimes and genocide; and

• Reducing the reliance on violence as an instrument of policy.

This mission is pursued in four ways, by:

• encouraging use of the methods of nonviolent actions to end impunity and dictatorship whenever they arise

• sharing the results of research by the Partnership Of Change with the Kenyan public through networks and information communication technology

• consulting with, and educating, groups and individuals about the strategic potential of nonviolent action; and

• advocacy and public education to promote the Rule of Law in Kenya to end impunity; to promote the defense of the rights of Kenyans by Kenyans including civil and political liberties, and to promote equitable development

Visit our Site:
www.marsgroupkenya.org/partnershipforchange