The ex-CEO of Youth Fund made a mind-blowing revelation yesterday. She revealed to PIC that the board chairman Bruce Odhiambo pressurized her into paying Sh180 million to a company said to have granted a treaty to supply a fabricated ICT strategy survey.
In the beginning of her confession, Catherine Namuye noted that even though Quorandum hands were greased with a king-size amount of money, it did not deliver any work as everything about the deal was unreal.
Catherine added that the board, out of their own will, trumped-up the ghost contract. She also revealed that she was pushed into making payments even when they knew the entire deal was a sham.
Disclosing that laws of purchase were not followed during the deal, Catherine accused Odhiambo of endorsing her as the sole signatory of Youth Enterprise Development Fund account contrary to what is provided as a rule when handling public fund or resources.
Led by Aden Keynan, the Public Investments Committee heard the confession of Catherine on camera as she had asked for a private session to pull the skeleton right out of the cupboard concerning the misappropriation of public fund.
It was alleged that the Youth Enterprise Development Fund Board couldn’t render proper account for Sh155 million which was irregularly withdrawn from an investment account.
The enterprise had invested Sh400 million in fixed deposit account which was to mature in two months at an interest rate of 10.5 per cent.
The then CEO, Catherine Namuye, allegedly paid in Sh180 million from the deposited fund to a company known as Quorandum Limited and another Sh65 million to the enterprise’s account.
But report said there was no contract to indicate the consultancy services Quorandum had delivered to the Youth Enterprise Fund.
However on March 2, the company named in the middle of the fraud hinted how the payment, which is the main focus of the interrogation, came about.
Speaking to the Public Investments Committee, the Managing Director of Quorandum Limited, Mukuria Ngamau, presented a letter between his company and the Youth Development Enterprise Fund.
The letter shows that on June 2, 2014, the Development Fund asked Quorandum to submit quotations for a “Proposed Comprehensive ICT Strategy Plan and ERP Design.”
According to Ngamau:
Quorandum limited submitted the documents and Youth enterprise development fund(YEDF) confirmed the submitted documents would be presented to its Board for consent prior to the implementation.
In a letter dated September 2, 2015, the Youth Fund through suspended CEO Catherine Namuye, who was serving as an acting CEO, confirmed that the Board had approved Quorandum’s proposal.
The PIC revealed on March 11 that the embattled former Devolution CS Anne Waiguru will face grilling concerning the missing fund. This is because the PIC wants Waiguru to give more insight on the fraud since chairman Bruce Odhiambo copied her and Mangiti throughout his communications.