SUMMARY
- The financial soundness and the viability of Kenya Utalii College’s coast branch will be revealed in a month after Tourism Cabinet Secretary (CS) Najib Balala appointed a taskforce to look into the investment.
- The six-member team will make recommendations to the CS on institutional reforms on the Kilifi-based institution.
- Ronald Ngala Utalii Collage is at the centre of investigations by National Assembly’s Public Investments Committee over exaggerated costs.
The financial soundness and the viability of Kenya Utalii College’s coast branch will be revealed in a month after Tourism Cabinet Secretary (CS) Najib Balala appointed a taskforce to look into the investment.
The six-member team will make recommendations to the CS on institutional reforms on the Kilifi-based institution.
“It is notified for information of the general public that the Cabinet Secretary for Tourism and Wildlife has appointed a taskforce on re-engineering of the Kenya Utalii College,” read Mr Balala in a Friday notice on the Kenya Gazette.
Ronald Ngala Utalii Collage is at the centre of investigations by National Assembly’s Public Investments Committee over exaggerated costs.
A special audit report questioned the circumstances that led to the escalation of the project from its original Sh1.9 billion cost to Sh8.9 billion before it was scaled down to Sh4.9 billion.
The contract for the main works was awarded to the third lowest prequalified bidder Mulji Devraj & Brothers Ltd at Sh8,961,370,998 and signed on May 14, 2013.
The taskforce chaired by Tourism Chief Administrative Secretary Joseph Boinett will look into the mandate of Kenya Utalii College, sustainability of its operations as well as financing and sources of the funds.
The team will also consider the application of college investments and assets, governance and management models as well as transition mechanisms.
“Taskforce will conduct its work expeditiously and submit its report to the Cabinet Secretary within 30 days of the date of its appointment,” read the notice.
Members of the taskforce include Krishna Unni, Barnabas Wamoto, Shazmin Manji, Mehdi Morad and Lina Ayako.
The appointment of the taskforce comes amid revelations that the Kenya Utalii College is broke after posting Sh410.5 million loss in the year to June 2017.
Former Auditor-General Edward Ouko in a report to Parliament noted the college reported a deficit of Sh410,579,471 down from Sh452,599,190 that it recorded in 2016.
He cited the management for failing to comply with the loan agreement signed between the college and the government of Kenya for a loan of Sh140 million.
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