Thursday, 20 April 2006, 08:10 GMT 09:10 UK
BBC April 20, 2006

Probe reveals more Kenyan graft

Mi-17 helicopterAn official Kenyan audit says officials have paid hugely inflated prices for military and security equipment, sometimes to non-existent companies.
The auditor-general's office examined 18 tenders and found seven contracts had been awarded to unregistered firms.
In one case, Kenya paid twice as much as India for a police helicopter, the report says.
Kenya's government is under strong pressure to act on corruption after a string of scandals.
The audit was released a day after the Kenyan parliament approved a report into corruption allegations, which implicates several leading politicians including Vice-President Moody Awori.
He has denied any wrong-doing over the "Anglo-Leasing" affair, which has cost three ministers their jobs.
Prosecution
The audit recommends that future security and military contracts be subject to parliamentary scrutiny - at present they are exempt for "security reasons".
The report's authors said they could not put a figure on how much money had been lost over the 18 contracts due to a lack of complete information, while some money had been repaid after four projects were cancelled.
Kenyan Vice-President Moody AworiIt found that Kenya had paid $9 million each for four MI 17 police helicopters, while Malaysia, India and Pakistan had paid $4 million, $3.9 million and $5 million respectively for similar models.
Two months ago, Mr Awori told the Parliamentary Accounts Committee he had no knowledge of the Anglo Leasing affair and refused to step down.
But he now faces prosecution.
The scandal involved contracts worth hundreds of millions of dollars being awarded to fictitious firms for items such as hi-tech passports.
The scandal has already led to the resignations of former ministers Kiraitu Murungi and David Mwiraria and the sacking of Chris Murungaru.
The report calls for further investigations and prosecutions of ministers and top government officials named by former anti-graft tsar John Githongo.
Mr Githongo fled to the UK and was interviewed there by members of the PAC, which includes opposition leader Uhuru Kenyatta.
"The director of the anti-corruption commission should liaise with the attorney general, the police commissioner and other relevant bodies with a view to prosecuting persons who are involved in negotiations and approval of the procurement of passport-issuing equipment project," the report said.
President Mwai Kibaki won 2002 elections on a pledge to tackle corruption which had plagued the previous administration.