A senior manager at the Nairobi City Water and Sewerage Company (NCWSC) is on the investigators radar over alleged blatant embezzlement of public funds through manipulation of financial IT systems.
Through a stealth scheme to evade possible detection, the officer attached to the Databases Administration Manager’s (DBM) office is reportedly said to fleece in excess of sh250,000 every time gratuity payments are advanced from the public coffers.
In what points to an organised grand theft, the added “foreign” figure is not reflected in the pay slip despite glaring discrepancies of Gross Pay variations.
However, auditors have been able to flag the erased files.
“This is not new. It is something that he has been doing especially for the last two years. At least Sh10million has been swindled through this scheme.” Our source in the know intimated.
The current NCWSC Managing Director is Nahashon Muguna. Prior to his appointment two years ago, he served as the Nairobi Water technical director.
The water company has been dogged by financial scandals ranging from exaggerated water billings, stealing of company assets, cooking of books of accounts and poor maintainace of sewer system.
There are fears that the institution’s book of accounts did not reflect the true financial position and are inaccurate as they do not include property, plant, land and equipment.
For instance, NCWSC has been dogged by claims of poor meter readings, exaggerated water bills Erroneous water billings for 2011 and 2012 was reordered as Sh1.1 billion.
Out of Sh7.8 billion billed by the company for 2012 Sh5.5 billion was provided for as bad and doubtful debt.
Further, assets and liabilities inherited from defunct City Council of Nairobi were not documented and revenue reserve balance of Sh199.4 million including Sh697million transferred from the capital reserves in 2007/2008.
Also, there reports that at least 10 acres of the firm’s land in Karen has been hive off with only an office sitting in less an acre.