The Treasury says the government cannot account for donor funds collected through the Covid-19 task force set up by President Uhuru Kenyatta in 2020.
Appearing before the National Assembly’s Public Accounts Committee, Treasury PS Julias Muia said the millions raised by the task force did not reflect in their books as they were not part of the govt fund.
According to Auditor General Nancy Gathungu, the fund had collected Sh1.3 billion by December 31, 2020.
The Public Accounts Committee heard that the public fund, which was set up under PFM Act, was turned into a private limited company in total breach of the law.
“As National Treasury, we did not participate on what was going on in the company,” Muia said.
“We never got sight of the bank account.”
The Committee is probing the whereabouts of the cash that was raised by donors to help in the fight against the Covid-19 pandemic in the country.
“If the legal notice was to establish the fund under PFM Act, at what time was the decision made to register it as a private company?” Posed PAC chairman Opiyo Wandayi.
He added: “I have never seen such a thing like this where something has both the character of being a public entity and private entity at the same time.”