MPs Probe Consultancy Firm Over Financial Discrepancies in Kenya Academy of Sports Audit
During the session, Mr. Isaac Mruttu, the sole remaining partner of the firm, acknowledged the Committee’s patience after the firm missed two previous sittings.
Members of Parliament have raised serious concerns over financial inconsistencies involving Mruttu Salmann & Associates, a consultancy firm linked to the Kenya Academy of Sports. Photo/Parliament of Kenya.
Members of Parliament have raised serious concerns over financial inconsistencies involving Mruttu Salmann & Associates, a consultancy firm linked to the Kenya Academy of Sports.
The Public Investments Committee on Social Services, Administration, and Agriculture (PIC-SSAA), chaired by Navakholo MP Hon. Emanuel Wangwe, scrutinized the firm following discrepancies highlighted in the Auditor-General’s report for the financial years 2013/2014 to 2020/2021.
During the session, Mr. Isaac Mruttu, the sole remaining partner of the firm, acknowledged the Committee’s patience after the firm missed two previous sittings.
He reiterated that Sports Kenya had advertised bids for designing and developing the International Sports Academy in 2009, which the firm won through a competitive process involving the Ministry of Public Works and Sports Kenya.
Mruttu disclosed that the initial project estimate was Kshs. 4.93 billion, but due to financial constraints, implementation proceeded in phases, starting with Phase 1A.
The tender was awarded to M/S Landmark Holdings Limited in January 2013 at a contract sum of Kshs. 859.8 million.
However, the project, originally set for completion in three years, extended to seven years, concluding in December 2020 due to funding challenges.
The committee, however, took issue with inconsistencies in the financial statements presented. Ndhiwa MP Hon. Martin Peters Owino criticized the firm for the contradictions in its documentation.
“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,” Owino asserted.
Auditors representing the consultancy firm admitted that some financial records contained errors and admitted that they could not reconcile the figures presented.
In response, Vice Chairperson Hon. Caleb Amisi (Saboti) emphasized the necessity of financial accountability and provided the firm additional time to rectify its records.
“The Committee will give you time to put your house in order, and we will invite you back alongside the CEO of Sports Kenya,” stated Hon. Amisi.
Mr. Mruttu expressed gratitude for the opportunity to clarify the firm’s position and committed to returning with more precise submissions.
The PIC-SSAA is set to recall the consultancy firm and officials from Sports Kenya in the coming weeks for further investigation into the financial discrepancies.
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