Corruption; Uhuru absolves himself.

[Empedocles]

This is what Uhuru is really talking about:



Uhuru finds it very difficult to take maybe one or even two or more cards (i.e. thugs) out without bringing the whole deck crashing.

The only way out is to start with the top most cards.

[MOON Ki]

I also thought the reference to Eurobond and bad-mouthing the AG was the highlight that punctuated the whole rant.  He actually laughed that the AG was trying to get information from the Federal Reserve Bank.  Instead of being concerned that he was having trouble doing so perhaps and offering his government's backing in the name of transparency.

And this is the context in which people claim that Uhuru has done all he can and "who has be impeded?".   For starters, in this, case he could stop undermining the Auditor General (AG).   He could then go on to state that wishes to have the truth uncovered, urge the AG in that task, and ensure that the latter has the full support and facilities necessary.

Beyond Eurobond, the AG's report lists numerous reports of the most outrageous looting.    My guess is that he is increasingly seen as "unhelpful", and I wonder if he will last much longer.   On Eurobond, I anticipate obstacles in these planned trips and discrediting whatever he finally comes up.  "Early retirement", "resignation", ...?  Let's watch 2017.   

[Kichwa]

Ouru has confirmed the general consensus that he cannot do anything about corruption although he has lied about the reason why. He should therefore resign or not seek re-elections if we are to believe him.  If corruption is the numero uno issue in Kenya today then there is really no reason for him to run after acknowledging that he cannot do anything about it. That there is nothing he can do is a lie.  He can start by firing the corrupt and appointing the right people and setting a good example himself by using  the office of the presidency as a bully pulpit on the war on corruption.  He can do this tomorrow.

I also thought the reference to Eurobond and bad-mouthing the AG was the highlight that punctuated the whole rant.  He actually laughed that the AG was trying to get information from the Federal Reserve Bank.  Instead of being concerned that he was having trouble doing so perhaps and offering his government's backing in the name of transparency.

And this is the context in which people claim that Uhuru has done all he can and "who has be impeded?".   For starters, in this, case he could stop undermining the Auditor General (AG).   He could then go on to state that wishes to have the truth uncovered, urge the AG in that task, and ensure that the latter has the full support and facilities necessary.

Beyond Eurobond, the AG's report lists numerous reports of the most outrageous looting.    My guess is that he is increasingly seen as "unhelpful", and I wonder if he will last much longer.   On Eurobond, I anticipate obstacles in these planned trips and discrediting whatever he finally comes up.  "Early retirement", "resignation", ...?  Let's watch 2017.   

[RV Pundit]

Uhuru is right on the money on the stupid Ouko fellow. How can you purport to investigate the NY Federal Reserve bank . What nonsense is that. Waste of public money and time. Next he'll want to investigate the CIA, FBI and US congress? This ouko fellow should long have been fired...he is not any different with Raila sending long warning letters to NY Federal reserve and finance arrangers..and expecting a response.

Massive waste of gov resources  in  a wild goose chase.

Mr Ouko in May said a team of forensic auditors would visit a number of financial institutions including JP Morgan, Federal Reserve Bank, City Transaction Services New York, JP Securities, Barclays Bank, ICB Standard Bank and Qatar National Bank to scrutinise transaction data.

[Kim Jong-Un's Pajama Pants]

Uhuru is right on the money on the stupid Ouko fellow. How can you purport to investigate the NY Federal Reserve bank . What nonsense is that. Waste of public money and time. Next he'll want to investigate the CIA, FBI and US congress? This ouko fellow should long have been fired...he is not any different with Raila sending long warning letters to NY Federal reserve and finance arrangers..and expecting a response.

Massive waste of gov resources  in  a wild goose chase.

Mr Ouko in May said a team of forensic auditors would visit a number of financial institutions including JP Morgan, Federal Reserve Bank, City Transaction Services New York, JP Securities, Barclays Bank, ICB Standard Bank and Qatar National Bank to scrutinise transaction data.

I don't remember him saying he is investigating the Reserve Bank.  I think he needs information from the Reserve Bank about the Eurobond from the reserve bank.  He is investigating the Treasury.  I could be wrong - in which case I'll take another look at his report.

Kamwana is entitled to his opinion.  But he is not entitled to an alternate reality.

[RV Pundit]

And you honestly think the Fed Reserve Bank of US will answer Ouko questions? Fed Bank is bank reserved ONLY FOR CENTRAL BANKERS. If someone wanted to steal money he won't hid it in Fed Reserve Bank. This an expensive wild goose chase. And I totally agree with Uhuru that Ouko is one stupid fellow playing politics who should be fired pronto.

I don't remember him saying he is investigating the Reserve Bank.  I think he needs information from the Reserve Bank about the Eurobond from the reserve bank.  He is investigating the Treasury.  I could be wrong - in which case I'll take another look at his report.

Kamwana is entitled to his opinion.  But he is not entitled to an alternate reality.

[MOON Ki]

I don't remember him saying he is investigating the Reserve Bank.  I think he needs information from the Reserve Bank about the Eurobond from the reserve bank.  He is investigating the Treasury.  I could be wrong - in which case I'll take another look at his report.

Yes, all he has stated is that he needs to get direct information from the banks involved; and that is hardly surprising given the funny photostat copies that Treasury has put out. But Uhuru's claim perfectly suits his lot.

Yes, the Treasury seems to be where the problem lies.    Treasury has been involved in two sorts of lies and fudging:

One is a bit subtle and similar to the low-level street scam of a punting trying to guess which of three cups covers the peanut: where the Eurobond money actually is depends on who is asking and when they are asking.

The other one is more straightforward, and I will give a concrete example.  Go here http://www.treasury.go.ke/eurobond.html and look at the .pdf file under "Sovereign Bond (Eurobond): Questions And Answers." Now look at Qu. 10.

According to Treasury, the Auditor General "confirmed" that the funds had been deposited in the Consolidated Fund.   And to "prove" that, the note then includes a statement from the Auditor General.    The only problem is that the Auditor General statement says nothing of the sort!    All it says is that what is supposedly in some overseas account  + what is in some CBK account add up to whatever the amount is supposed to be.

It's all right there for everyone to read, but on that smoke-and-mirrors basis it was then claimed that "the Auditor General has cleared the Eurobond".   

Anyone who takes the time to carefully look at all the stuff Treasury has put out will end up either laughing or being totally shocked.    I would urge people to go beyond the popular media and to take a closer look.  The lack of consistency, internal to among the various documents, is astonishing.

Further in that document--- http://www.treasury.go.ke/eurobond.html under "Sovereign Bond (Eurobond): Questions And Answers."---there are what Treasury claims are allocations from those monies.    The main question in the latest Auditor General's report is this: If the money was put into the CF as claimed and then allocated as claimed, then where is the evidence?    Answering that requires answers to at least three questions: 

(i) did all the money end up in the CF?,
(ii) was it allocated as claimed?, and
(iii) if so, where is the evidence, by way of expenditure?

The Auditor General apparently  hasn't had any joy anywhere, if his latest report is anything go by. 

And there has also been "the IMF has cleared the Eurobond" type of type of thing, whatever that means.   The fact is that if one looks at both public IMF statements and "detailed" accounts, they say little no more than that Kenya received the money.   Come to think of it, it's shaky even on that front: IMF's documents show the money being accounted for in one financial year, as they were told by GoK.   But in the face of stiff questioning, Treasury, in its jump-and-dodge game then later moved things to the next financial year!

[RV Pundit]

Maybe he need to investigate the domestic bonds floated this year that are way more than Eurobond. Eurobond was simply use to substitute domestic borrowing and retire 600M syndicated commercial loan for that year. As he rushes to get confirmation from all these banks in the US..treasury right now is borrowing on average 1B per day...or more than 350B per year. And that money goes into the BUDGET as approved by MPS. There is no way you can slice the money into eurobond or domestic bond or taxes.

What a joker wasting public money on wild goose chase.

[MOON Ki]

... that money goes into the BUDGET as approved by MPS. There is no way you can slice the money into eurobond or domestic bond or taxes.

I hoped I would be done with you for today, but this "Pundit Fact" is too astonishing to let go.     "Eurobond money" is not just "any old money", to be randomly lumped into the budget.  Even Treasury in its smoke-and-mirrors game is aware of that; the money is supposed to be "earmarked" in both allocation and use.

Look at the heading of the last column on pages 9 to 11 here:

http://www.treasury.go.ke/media-centre/eurobond-press-releases.html?download=322:press-releases-on-the-sovereign-bond-responding-to-various-questions-answers-03-12-2015-final-a-i-at-3-00-pm

See my (ii) and (iii) above.     It will probably take you a very long time, but if you put your mind to to it you will eventually get the point (and the AG'c concerns).

[RV Pundit]

Still quoting the initial press release that treasury hastily released when this hulabaloo started or how this was actually treated in treasury books. Eurobond went into consolidated account (CBK confirms this coz they bought treasury USD at Fed Reserve Bank and debited CA with KSHS and so does Controller of Budget...from there..it impossible to tell where it went. Eurobond was suppose to reduce domestic borrowing. The rest is endless wild goose chase of euro bond. Where is Juma and his forensic audit.

I hoped I would be done with you for today, but this "Pundit Fact" is too astonishing to let go.     "Eurobond money" is not just "any old money", to be randomly lumped into the budget.  Even Treasury in its smoke-and-mirrors game is aware of that; the money is supposed to be "earmarked" in both allocation and use.

Look at the heading of the last column on pages 9 to 11 here:

http://www.treasury.go.ke/media-centre/eurobond-press-releases.html?download=322:press-releases-on-the-sovereign-bond-responding-to-various-questions-answers-03-12-2015-final-a-i-at-3-00-pm

See my (ii) and (iii) above.     It will probably take you a very long time, but if you put your mind to to it you will eventually get the point (and the AG'c concerns).

[Kim Jong-Un's Pajama Pants]

And you honestly think the Fed Reserve Bank of US will answer Ouko questions? Fed Bank is bank reserved ONLY FOR CENTRAL BANKERS. If someone wanted to steal money he won't hid it in Fed Reserve Bank. This an expensive wild goose chase. And I totally agree with Uhuru that Ouko is one stupid fellow playing politics who should be fired pronto.

I don't remember him saying he is investigating the Reserve Bank.  I think he needs information from the Reserve Bank about the Eurobond from the reserve bank.  He is investigating the Treasury.  I could be wrong - in which case I'll take another look at his report.

Kamwana is entitled to his opinion.  But he is not entitled to an alternate reality.

I don't think that is his rationale.  That the money is hidden there.  My guess - and this is before I have rechecked his report - he doubts the information about the transactions he has received from the Treasury so he seeks to validate it with the source.  Is he a fool?  I don't know...but he just seems interested in facts that can be verified - the very definition of his job.

[MOON Ki]

http://www.nation.co.ke/oped/Editorial/Stop-the-blame-game-and-fight-corruption/440804-3421676-nyw9uxz/index.html

[MOON Ki]

I don't think that is his rationale.  That the money is hidden there. 

Good luck with the Mission Impossible against River-Road Logic.   

[Georgesoros]

uhuru has failed miserably in fighting corruption. His defense regarding the system does not measure up. He has a whole parliament but he has done zip. Stop defending the indefensible.
I especially did not appreciate it when he made fun of the auditor doing his job.

[Kim Jong-Un's Pajama Pants]

I don't remember him saying he is investigating the Reserve Bank.  I think he needs information from the Reserve Bank about the Eurobond from the reserve bank.  He is investigating the Treasury.  I could be wrong - in which case I'll take another look at his report.

Yes, all he has stated is that he needs to get direct information from the banks involved; and that is hardly surprising given the funny photostat copies that Treasury has put out. But Uhuru's claim perfectly suits his lot.

Yes, the Treasury seems to be where the problem lies.    Treasury has been involved in two sorts of lies and fudging:

One is a bit subtle and similar to the low-level street scam of a punting trying to guess which of three cups covers the peanut: where the Eurobond money actually is depends on who is asking and when they are asking.

The other one is more straightforward, and I will give a concrete example.  Go here http://www.treasury.go.ke/eurobond.html and look at the .pdf file under "Sovereign Bond (Eurobond): Questions And Answers." Now look at Qu. 10.

According to Treasury, the Auditor General "confirmed" that the funds had been deposited in the Consolidated Fund.   And to "prove" that, the note then includes a statement from the Auditor General.    The only problem is that the Auditor General statement says nothing of the sort!    All it says is that what is supposedly in some overseas account  + what is in some CBK account add up to whatever the amount is supposed to be.

It's all right there for everyone to read, but on that smoke-and-mirrors basis it was then claimed that "the Auditor General has cleared the Eurobond".   

Anyone who takes the time to carefully look at all the stuff Treasury has put out will end up either laughing or being totally shocked.    I would urge people to go beyond the popular media and to take a closer look.  The lack of consistency, internal to among the various documents, is astonishing.

Further in that document--- http://www.treasury.go.ke/eurobond.html under "Sovereign Bond (Eurobond): Questions And Answers."---there are what Treasury claims are allocations from those monies.    The main question in the latest Auditor General's report is this: If the money was put into the CF as claimed and then allocated as claimed, then where is the evidence?    Answering that requires answers to at least three questions: 

(i) did all the money end up in the CF?,
(ii) was it allocated as claimed?, and
(iii) if so, where is the evidence, by way of expenditure?

The Auditor General apparently  hasn't had any joy anywhere, if his latest report is anything go by. 

And there has also been "the IMF has cleared the Eurobond" type of type of thing, whatever that means.   The fact is that if one looks at both public IMF statements and "detailed" accounts, they say little no more than that Kenya received the money.   Come to think of it, it's shaky even on that front: IMF's documents show the money being accounted for in one financial year, as they were told by GoK.   But in the face of stiff questioning, Treasury, in its jump-and-dodge game then later moved things to the next financial year!

Yes, there is a lot of confusing information.  And the distinct possibility of what you are saying, that one party is given one narrative and the other a different one.

I got the impression from a casual reading of his report that the AG had information, obviously from the Treasury, to the effect that the Eurobond money was moved from the Sovereign Bond to the ministries.  Not from the SB to CF then to ministry.  Indeed that is how he is able to identity Eurobond money.  If you recall, Rotich had previously correctly pointed out that if the money is in CF with the rest before being disbursed, you cannot tell which money is what?  Either the AG is incompetent and doesn't know this simple fact or he is given different information.

The same Treasury has also gone through hoops to demonstrate that this money actually found its way to the CF - the controversial documents showing piecemeal transfers.  This was for the benefit of Jacob Juma/ODM/CORD type noisemakers.  I gather, the AG is not officially made aware of these transactions.  Of course Ouko knows what they put out for public consumption - but he can only go by what they officially share with him.

Even without getting into the actual numbers, the AG's report, and the previous documents from Treasury would suggest that the Treasury transferred the money from SB into the CF and at same time transferred the same money from SB straight to the ministries!  You have to believe that both things happened if you agree with them, or that the AG is unbelievably incompetent - or not give a damn about the facts.  Thus far though nobody has raised the question of incompetence.  Political rants don't count.

It certainly helps to bother to look at the actual claims and the supporting documents.  Something kamwana has either not bothered to do, or doesn't care about, secure in the knowledge that enough Kenyans will automatically agree with what he says without being bothered to waste time with the details.

[RV Pundit]

Ouko can go on wild goose chase to New York and he'll still come out of empty. Treasury used 600MUSD to pay off the loan, part of money was wired directly from JP Morgan to consolidated account held in  Central Bank and the last trench never got wired...coz CBK bought the dollars from treasury and kept it in Fed Reserve Bank. Once all the money got in  CA..it impossible to trace eurobond from taxes or domestic bonds.

For Eurobond to happen as some here desperately wants there has to be MAJOR COLLUSION....from all those entities...spanning many jurisdiction..including US Gov, IMF,WB, Irish gov, CBK, Treasury and name all those actors.

The wild goose chase can continue for another 10yrs and all will come up empty.

The most frustrating thing is this unproven scandal is preventing kenya from borrowing more and more cheaply from cheap debt market- and now we have to borrow domestically (and crowd off private lending) - amounts that dwarfs Eurobond.

But I guess when you borrow 350B in kshs annually...it not as sexy as borrowing 2.5B USD.

[Kim Jong-Un's Pajama Pants]

Ouko can go on wild goose chase to New York and he'll still come out of empty. Treasury used 600MUSD to pay off the loan, part of money was wired directly from JP Morgan to consolidated account held in  Central Bank and the last trench never got wired...coz CBK bought the dollars from treasury and kept it in Fed Reserve Bank. Once all the money got in  CA..it impossible to trace eurobond from taxes or domestic bonds.

For Eurobond to happen as some here desperately wants there has to be MAJOR COLLUSION....from all those entities...spanning many jurisdiction..including US Gov, IMF,WB, Irish gov, CBK, Treasury and name all those actors.

The wild goose chase can continue for another 10yrs and all will come up empty.

The most frustrating thing is this unproven scandal is preventing kenya from borrowing more and more cheaply from cheap debt market- and now we have to borrow domestically (and crowd off private lending) - amounts that dwarfs Eurobond.

But I guess when you borrow 350B in kshs annually...it not as sexy as borrowing 2.5B USD.

He could come out empty.  What good is that you may ask?  It eliminates one avenue.  Narrows down the likely events.  The man is going above and beyond the call of duty.  Rather than just say he does not know what happened to the money, he seeks to add some detail to it.  Exactly the thing kamwana is complaining that he does not do.

What do you mean by for Eurobond to happen?  The problem is nobody seems to know what happened to Eurobond.  There isn't enough information to conclude whether there was collusion in anything.  Perhaps it was just put to good use.  AG's job is to find evidence for that.  He hasn't.

Maybe you mean steal?  Anyhow is there any point to this sentence that is germane to this train of discussion?

[MOON Ki]

The problem is nobody seems to know what happened to Eurobond.  There isn't enough information to conclude whether there was collusion in anything.  Perhaps it was just put to good use.  AG's job is to find evidence for that.  He hasn't.

That is the real bother here.   Nobody knows.    Treasury can't give one straight story.   And the only guy trying to find out is laughed at and humiliated in public for doing his job.

Going back to corruption: Uhuru has basically  thrown in the towel.   He has done all he can, he says.  Everyone is independent, so he can't do anything about them, but they sure are letting him down.   That's his story.    He has basically announced that, contrary to what people think, the Kenyan presidency is a ceremonial one.    Maybe he should make Ruto Prime Minister or something.   Ruto at least works hard and feels that he must give back a small part of the "proceeds" .... tithe or something.

[Kim Jong-Un's Pajama Pants]

The problem is nobody seems to know what happened to Eurobond.  There isn't enough information to conclude whether there was collusion in anything.  Perhaps it was just put to good use.  AG's job is to find evidence for that.  He hasn't.

That is the real bother here.   Nobody knows.    Treasury can't give one straight story.   And the only guy trying to find out is laughed at and humiliated in public for doing his job.

Going back to corruption: Uhuru has basically  thrown in the towel.   He has done all he can, he says.  Everyone is independent, so he can't do anything about them, but they sure are letting him down.   That's his story.    He has basically announced that, contrary to what people think, the Kenyan presidency is a ceremonial one.    Maybe he should make Ruto Prime Minister or something.   Ruto at least works hard and feels that he must give back a small part of the "proceeds" .... tithe or something.

kamwana is basically being a giant asshole.  Way to absolve himself.

[Kichwa]

If Eurobond was put to good use it would not have been too difficult to find out. You erase records only when you are doing something bad. Eurobond was stolen and the thieves covered their tracks well-at least for now.

The problem is nobody seems to know what happened to Eurobond.  There isn't enough information to conclude whether there was collusion in anything.  Perhaps it was just put to good use.  AG's job is to find evidence for that.  He hasn't.

That is the real bother here.   Nobody knows.    Treasury can't give one straight story.   And the only guy trying to find out is laughed at and humiliated in public for doing his job.

Going back to corruption: Uhuru has basically  thrown in the towel.   He has done all he can, he says.  Everyone is independent, so he can't do anything about them, but they sure are letting him down.   That's his story.    He has basically announced that, contrary to what people think, the Kenyan presidency is a ceremonial one.    Maybe he should make Ruto Prime Minister or something.   Ruto at least works hard and feels that he must give back a small part of the "proceeds" .... tithe or something.