Gachagua urge COTU boss Atwoli call out diversion of NSSF funds to bankroll state mega-projects
Gachagua accused key figures of corruption, mismanagement, and siphoning NSSF money for personal gain
Former Deputy President Rigathi Gachagua has urged Central Organization of Trade Unions (COTU-Kenya) Secretary General Francis Atwoli to call out the government over the the alleged misuse of National Social Security Fund (NSSF) resources.
Speaking during a Sunday service at Jesus Celebration Centre Malindi, Kilifi county earlier today Gachagua expressed regret that funds meant for workers’ retirement are allegedly being diverted to finance questionable deals.
He accused key figures of corruption, mismanagement, and siphoning NSSF money for personal gain.
“Atwoli has been quiet for a long time, but now we can see he can see clearly. At NSSF, where he serves as one of the trustees, workers’ savings have been diverted to build the Bomas of Kenya and the Rironi–Mau Summit Road,” Gachagua claimed.
“This means retirees may not be able to access their money when they need it. We want Atwoli to speak about this NSSF money just as he has talked about the housing levy,” he added.
His remarks come after Atwoli clashed with the State Department of Housing over proposed amendments to the Affordable Housing Regulations, which would allow the housing levy to be used for the construction of clinics, police posts, and markets alongside the country’s ambitious housing projects.
A Cabinet meeting chaired by President William Ruto at Sagana State Lodge on August 8, 2023, ratified the construction of the Bomas International Convention Centre (BICC), positioning Kenya as a premier destination for Meetings, Incentives, Conferences, and Exhibitions (MICE) tourism.
And in a quick rejoinder, Atwoli termed assertions by Democracy for Citizens Party (DCP) leader as reckless.
“Gachagua’s claim that NSSF funds are being misappropriated is not only a distortion of facts but also a dangerous attempt to politicise a critical institution that safeguards the future of millions of Kenyan workers,” Atwoli said.
COTU warned that Gachagua’s suggestion for workers to withdraw their NSSF contributions amounted to economic sabotage and called on the government to consider taking legal action against him.
“It is reckless and outrightly malicious for Mr. Gachagua to encourage Kenyans to destabilise the NSSF. Such utterances border on economic sabotage,” Atwoli stated.
The union further clarified that Atwoli is no longer involved in the fund’s investment decisions, having exited the NSSF Board in 2021 when his term expired.
COTU defended NSSF’s investment practices, noting that they are governed by strict regulations approved by the Retirement Benefits Authority (RBA) and managed by licensed investment managers.
However, the union urged the NSSF Board of Trustees to publicly address audit queries raised by the Auditor General concerning Sh16 billion in the financial year ending June 2024.
While underscoring the need for transparency, Atwoli supported the idea of investing pension funds in public infrastructure. He cited examples from Tanzania, Uganda, and South Africa where pension funds have been successfully used to finance national development projects.
“It is far better and more secure for NSSF to invest in government infrastructure than to engage in questionable dealings with individuals like Mr. Gachagua,” Atwoli added.
On the housing levy usage differences between Atwoli and Hinga, BICC was envisioned as an enhancement of the Kenyatta International Convention Centre (KICC) and was expected to feature a conference center, a presidential pavilion, and at least five hotels.
The Cabinet also directed the finalisation of the construction framework and the groundbreaking of the 170-kilometre four-lane Rironi–Mau Summit Road by June 1, 2025.
The project aims to upgrade the road from a two-way single carriageway to a four-lane dual carriageway, significantly improving traffic flow.
“The project, which is set for completion within 24 months, with a target date of June 2027, is part of Kenya’s broader infrastructure transformation aimed at enhancing connectivity across the country and the region, while driving economic growth,” read the Cabinet brief
