NHIF Consultants Refuse To Face Parliamentary Committee Amid Ongoing Court Case

By The Weekly Vision Team

Two firms embroiled in the scandal involving the National Hospital Insurance Fund (NHIF)—Ujenzi Consultants and Baseline Architects—have declined to appear before a parliamentary committee, citing ongoing legal proceedings. The firms were summoned by the Public Investments Committee on Social Services, Administration, and Agriculture, which has been scrutinising the Auditor General’s report on NHIF’s financial statements for the fiscal years 2019/2020 and 2020/2021.

Auditor General Nancy Gathungu had highlighted concerns over-payment of KSh 1.44 billion made by the NHIF to consultants. The funds were disbursed as part of arbitration awards to architects, quantity surveyors, and other professionals. However, the management of Ujenzi Consultants and Baseline Architects failed to attend the committee hearing, instead notifying committee chairperson Emmanuel Wangwe that they would not appear due to the ongoing court case, which they argued made it prejudicial to discuss the matter in the committee.

The committee expressed concern over Baseline Architects’ involvement, noting that the firm had been contracted to supervise a project on the disputed land. However, during a site visit, the committee found that no work had been carried out, despite payments being made to Baseline. The committee sought clarification from the firm on why it received payment without delivering services and whether the design work it was contracted to do was completed. Additionally, the committee questioned the procurement process that led to Baseline’s selection, asking whether it was through a competitive tender or single-sourcing.

Regarding Ujenzi Consultants, the committee conducted an inspection to verify the ownership of the disputed Karen land (LR. No. 24968/2, measuring 10 hectares) and assess the work-in-progress related to the Sh 1.44 billion payments for the proposed Resource Centre on the land. Ujenzi Consultants had been appointed as the consulting quantity surveyor for the project on April 29, 2002. The committee demanded an explanation from the firm about the substantial payments made by NHIF to various consultants, including architects, quantity surveyors, and other professionals.

The committee’s letter to Ujenzi Consultants asked for a detailed account of the circumstances surrounding their appointment as a consulting quantity surveyor, the total amount received for their services, and the procedures followed in their selection. The committee also enquired about the consultancy terms and whether Ujenzi was aware of the land dispute.

Wangwe indicated that the committee would consult with the legal department to determine whether the matter is indeed before the court.