Graft-prone Kenya Pipeline Corporation has found itself in yet another huge corruption case even before the pending cases are determined.

The state corporation is at pains to explain irregular payments made to its over a thousand employees in what appears to be a brazen violation of policy.

According to a report tabled in Parliament, the firm paid overtime allowances amounting to Sh306 million to 1,080 staff contrary to the company’s rules and regulations.

Outrageous allowances

According to the report tabled by Majority leader Aden Duale, another Sh97 million was paid to 231 staff who were thus far earning responsibility allowances.

The Auditor General, Mr Ouko, indicated that a further Sh171 million that was paid to 164 employees exceeded the stipulated 25 per cent of their respective annual gross salaries.

In a number of instances, the annual overtime allowances received by the employees were as high as 250 per cent of annual gross salaries payable.

This plainly means the workers were irregularly paid for more days than they worked for!

More questions than answers

Also questioned by the auditor is Sh72 million, Sh9 million of which was spent on purchase of motor vehicle accessories such as chevrons, car mats, stripes, reflectors, life savers and key tags.

“The items were purchased as low-value procurement through petty cash payments and reimbursement claims lodges by the company’s staff. Since the purchases occurred on regular basis, the total value for the items for the year exceeded the threshold for low-value procurement as set out in section 107 of the Public Procurement and Disposal Act, 2015,” reads the report in part.

Inflated by 350 per cent!

More appalling is that the number of accessories bought by the state corporation outstripped the firm’s fleet requirements and their prices were over-valued by 350 per cent.

Irregular promotions

The Auditor General’s report noted with concern that the state corporation irregularly promoted undeserving staff seven grades higher!

“Although the appointees were said to possess the requisite academic qualifications, they lacked requisite experience and seniority as defined in the company’s career progression guidelines,” partly reads the audit report.