Following the alarming news from Director of Public Prosecution Noordin Haji that he fears graft money will be hard to recover as they are not put into relevant use by the alleged thieves,a Eurobond report has been revealed.
The receipt and disbursement of the Sh 250 billion Eurobond proceeds were above board, an audit report shows.
The audit was conducted by PKF Kenya who won the bid to audit the Eurobond.
The auditor says there was sufficient evidence to show the proceeds of the sovereign bond were received into the Consolidated Fund.
The report notes that although some Sh 53.2 billion of the proceeds was paid directly from the offshore account towards settlement of a loan facility taken by the government, Treasury had obtained the authority to do so from the Controller of Budget.
Treasury CS Henry Rotich at State House when he announced the government had successfully launched a $2 billion Eurobond on June 25, 2014
“As per the Eurobond prospectus, the syndicated loan was to be paid from the proceeds of the Eurobond. An amount of Sh563, 201344, 900 was paid directly from the proceeds of the Euro bond offshore account,” read the report.
The loan repayment, the report says, was done directly from a receiving account in JP Morgan Chase Bank New York, rather than from the National Exchequer account, as stipulated in law.