NYS Embezzlement: Monica Kanari is a Fashion Designer. She is also the owner of Occasions and Days Ltd. But that is not just it. Ms. Kanari received Sh. 15,306,689 on the morning of December 20, 2016, an amount that was part of the scandalous NYS payment scam that has left Kenyans in shock.
But what is interesting is that instead of devouring the money, Ms. Kanari turned it over.
Coming in the whirlwind of the first NYS scam, Kanari returned the money but earned herself a place in the dubious list of dozens who received similar payments in a well-orchestrated scheme which has now cost the tax payers Sh. 10 billion, money lost courtesy of the NYS.
One of those who received payments in almost similar circumstances is Ann Ngirita, 30, from Naivasha who it was reported got Sh. 59 million for supplying air.
NYS Cash reversal
According to a transmission document from the Central Bank of Kenya (CBK) seen by and interbank settlement ordered by the Ministry of Public Service and Youth through reference number FT1635557CKV, the money was deposited into an NIC Bank account operated by Occasions and Days Ltd.
Video: Kenyan man humiliated on a date for earning Sh. 20,000 salary
On noticing the anomaly, Ms Kanari wrote to the ousted Youth Ministry PS Lilian Omollo on December 23, 2016 informing her of the deposit and asking for a reversal of funds. It is not clear whether the PS responded.
The PS has declined to comment on this but in the email, Ms Kanari wrote: “I refer to the attached payment confirmation Ref FT1635557CKV and hereby confirm it has been sent to us erroneously.”
“Kindly note that I have given my bank instructions for the monies to be returned to account 1000303301. I will forward the confirmation slip once I receive it,” she told the PS.
The designer says she did not tender or supply any goods for the money in question.
“I was surprised to get money in my account, a whole Sh. 15 million and when I asked my bank, they told me it had been sent from Central Bank,” she says.
“On further inquiry, I discovered it had been sent from the NYS and I felt the good thing is to ask the bank to re-wire the money back to where it came from. I even wrote to the PS about this,” she says.
On the same day she informed the PS of the mysterious payment, NIC wired back the money to CBK through transmission reference number FT163585J4QTW. It was then remitted to the NYS.
“As I promised, find attached a copy of the confirmation of the swift transfer. This is to confirm that the monies sent to us erroneously of Sh. 15,306,689.00 has been returned to the Central Bank account number 1000303301 on December 23, 2016,” wrote Kanari to the PS.
“After that is the swift bank confirmation to prove the same,” she said.
How I used Sh. 100,000 to set up my profitable yoghurt business
The matter rested until Occasions and Days Ltd’s name appeared last week in the list of companies that received the Sh. 9 billion that has been lost at NYS. It did not even end there.
Tax arrears
KRA had also written to Ms Kanari asking for Sh. 10 million in tax arrears for receiving money as part of the proceeds of the scam.
“KRA has information of your transactions with the NYS. You received payments amounting to Sh. 55,944,878 from between January 9, 2016 to July 31, 2017 to the above named department,” Newton Magu, the KRA station manager for Nairobi West, wrote to Kanari.
“However VAT payments on these payments was not declared. This amounts to Sh. 10,031,493 inclusive of penalty and tax as tabulated below,” KRA said. The outstanding taxes have, according to KRA, accrued an interest of Sh. 1,543,306.
Part of this story was adapted from The Standard newspaper.