MPs question consultancy firm over financial discrepancies in Kenya Academy of Sports Audit

𝐓𝐮𝐞𝐬𝐝𝐚𝐲 𝟏𝟏𝐭𝐡 𝐅𝐞𝐛𝐫𝐮𝐚𝐫𝐲, 𝟐𝟎𝟐𝟓. 
𝐁𝐮𝐧𝐠𝐞 𝐓𝐨𝐰𝐞𝐫, 𝐏𝐚𝐫𝐥𝐢a𝐦𝐞𝐧𝐭 𝐁𝐮𝐢𝐥𝐝𝐢𝐧𝐠𝐬.

The Public Investments Committee on Social Services, Administration, and Agriculture (PIC-SSAA), chaired by Navakholo constituency MP Hon. Emanuel Wangwe, today scrutinized Mruttu Salmann & Associates (Consultancy) over financial discrepancies in the Auditor-General’s report on the Kenya Academy of Sports for the financial years 2013/2014 to 2020/2021.

In his opening statement, Mr. Isaac Mruttu, the sole remaining partner of the consultancy firm, expressed gratitude to the Committee for granting them time after missing two previous sittings due to unavoidable circumstances.

"We wish to express our gratitude for your indulgence on the two occasions we were unable to attend," Mruttu stated.

He explained that Sports Kenya had advertised bids for the design and development of the International Sports Academy on December 18, 2009, and their firm won the tender. The evaluation process, he said, involved technical personnel from both the Ministry of Public Works and Sports Kenya.

Mruttu presented that the initial project estimate stood at Kshs. 4.93 billion, but due to financial constraints, the client opted to implement it in phases, starting with Phase 1A. The tender was awarded to M/S Landmark Holdings Limited in January 2013, with a contract sum of Kshs. 859.8 million. However, the project, initially set to take three years, stretched to seven years and was only completed in December 2020 due to funding challenges.

The Hon. Wangwe-led committee expressed concerns over inconsistencies in the financial statements presented by the auditors. Ndhiwa constituency MP Hon. Martin Peters Owino was particularly critical of the discrepancies in the documents submitted.

"You need to familiarize yourselves with the documents you present before this Committee. There is no way on one hand you say this is an error and on the other side you own the document. We are the ones to determine whether it is an error or fraud," Hon. Owino stated.

The auditors admitted that there were errors and told the Committee that they could not reconcile the figures.

In his closing remarks, Vice Chairperson Hon. Caleb Amisi (Saboti) emphasized the importance of accountability and gave the firm additional time to review its documentation.

"The Committee will give you time to put your house in order, and we will invite you back alongside the CEO of Sports Kenya," Amisi stated.

Expressing his appreciation, Mr. Mruttu thanked the Committee for the opportunity to clarify the issues and pledged to return with more precise submissions.

The PIC-SSAA is expected to recall the firm and officials from Sports Kenya for further interrogation in the coming weeks.