Two former Cabinet secretaries are on the spot for irregularly receiving Sh7 million each in car allowances. The payments to Judi Wakhungu and Dan Kazungu were made contrary to a presidential circular that capped the upper limit of car allowances for CSs at Sh2 million.
They are further accused of failing to remit Sh2.1 million taxes from money advanced to them during their tenure in the Cabinet.
President Uhuru dropped Wakhungu and Kazungu but appointed them Kenya’s ambassadors to France and Tanzania respectively.
Last week, Water and Irrigation Principal Secretary Joseph Irungu was hard-pressed to explain to the National Assembly’s Public Accounts Committee (PAC) who authorised the payments against the circular issued on July 7, 2011 (Ref No CAB/56/2A).
Mr Irungu confirmed that the circular by the then head of the civil service and secretary to the Cabinet, Francis Muthaura, directed the paying department to withhold taxes.
Mining PS John Omenge, appearing before the committee, could not confirm whether then Mining CS Kazungu spent the Sh7 million to buy a car.
The allowance should be granted every four years on production of documents supporting the purchase of the vehicle.
“The motor vehicle being purchased must be for personal use, not for commercial purposes. Serving officers will qualify for the allowance four years after the last vehicle was purchased under the old arrangement,” says the circular.
“The paying ministry or department will be required to withhold the tax element for remittance to the Kenya Revenue Authority,” it adds.
Water CS Simon Chelugui has written to his Foreign Affairs colleague, Monica Juma, for assistance in recovering the Sh2.1 million.