Gideon Maundu | nation Prime Minister Raila Odinga lays the foundation stone for the new look Mombasa Primary School at Kizingo, on October 24, 2011. Looking on are Kisauni MP Ali Hassan Joho (left) and Mombasa mayor Ahmed Mohdhar (second right).
By PETER NG’ETICH pngetich@ke.nationmedia.com
Posted Monday, October 24 2011 at 22:00
Posted Monday, October 24 2011 at 22:00
IN SUMMARY
Dr Isakhakia says Kazi kwa Vijana project not cancelled, and that cash meant for the project is intact
The Office of the Prime Minister on Monday defended itself over allegations that funds meant for the youth had been embezzled.
The PS in the Prime Minister’s office, Dr Mohammed Isahakia, said the World Bank had not withdrawn funding for Kazi Kwa Vijana as has had been alleged. (READ:World Bank cancels funding for Kazi Kwa Vijana over graft)
“The project has not been cancelled. The youth are not deprived of any money which was meant for them,” Mr Isahakia said in a statement sent to newsrooms Monday evening. He said the bank had only raised questions in component I of the programme.
“Component II and III will continue as planned, and resources allocated to Component I will be re oriented to other activities that are still intended to empower the youth,” the statement said.
He said World Bank had issued a statement which had clarified some misinterpretations.
“The allegation is that some of the expenditures may have been ineligible for financing by the World Bank,” Mr Isahakia said.
He added: “What this means is that some monies may have been used for purposes that are not consistent with the objectives of the project or World Bank policies. It does not necessarily mean that money is lost or stolen.”
He said the donor had not made a determination whether any of the expenditures under question was ineligible and it would only be known after review of relevant documentation is done jointly by the bank and the OPM.
Earlier in the day, MPs allied to the PM led by Rarieda MP Nicholas Gumbo defended him over allegations of corruption in the programme.
World Bank cancelled the programme over the weekend after an audit revealed that Sh972 million had been embezzled.
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