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Home » News » MPs probe claims of Sh3.2B spent on KICC renovation

MPs probe claims of Sh3.2B spent on KICC renovation

Last updated: May 22, 2024 7:53 am
2 years ago
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MPs have initiated investigations into allegations that the government overspent on renovations for the Kenyatta International Convention Centre (KICC) ahead of the Climate Summit last year. The official budget allocated by Parliament was Sh1.9 billion, but it is claimed that Sh3.2 billion was actually spent.

During a session of the National Assembly’s Tourism and Wildlife Committee, chaired by Maara MP Kareke Mbiuki, contractors reported that they signed a prorated contract with China Wu Yi based on a total contractual sum of Sh3.19 billion. China Wu-Yi, the main contractor, informed the subcontractors that their full payments were contingent on receiving the full amount from the government, of which they had only received Sh550 million so far.

Mercy Meria, representing the local contractors, indicated that their payments were calculated based on 17 percent of the Sh3.2 billion figure provided by China Wu-Yi. The contractors, including architects, project managers, and other specialists, are now seeking Parliament’s help to secure their unpaid dues amounting to Sh674.6 million.

Defense Ministry officials claimed the renovations cost Sh1.9 billion, which contradicts the amount used by China Wu-Yi to determine prorated payments to the local contractors. This discrepancy has led the contractors to request direct payment from either the KDF or KICC.

In response, the committee has summoned representatives from the Defense Ministry and China Wu Yi to clarify the actual contract amount and provide the original contractual agreement. Kuresoi North MP Alfred Mutai expressed astonishment at the inflated figures, suggesting that Sh3.2 billion could potentially fund the construction of a new facility rather than just renovations.

Among the contractors involved were Flolizz Contractors, Michelangelo, Frejed Engineering, and others, who undertook various works ranging from refurbishment to installation of air conditioning and provision of furniture. These contractors completed and handed over their work by September 4, last year.

The committee’s investigation aims to resolve the discrepancies in reported costs and ensure that all contractors are compensated fairly.

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