Gitau Alex (lexxgits)

Open-minded. Entrepreneur. Kenyan. Family man. #TRACKMATE

[Morara Kebaso @MoraraKebaso]

How is the logo? We got rid of the yellow.

[Okiya Omtatah Okoiti-Commentary @RealOmtatah]

MASSIVE NEWS!

All eyes are now on Parliament, not because of Gachagua..but...wait for it!

A CENSURE MOTION has been tabled against Mr. Must Go Himself!

Points?

1. He condoned police brutality against Kenyans.

2. Reduced allocation to counties.

3. Clandestine PPPs including SHA, SHIF, and Adani.

Ruto must be impeached together with Gachagua.

Good job by the Makueni Senator Dan Maanzo

Kenyans, let's rally behind him.

Tweet and Retweet widely.

#RejectSHIF #RejectSHA #Maandamano #RutoMustGo

[Gitau Alex (lexxgits) @lexxgits]

@dan_nyagah Unfollow and block you

[Cornelius K. Ronoh @itskipronoh]

Hii injection 💉 imeenda group of schools! They will not believe! #FreeMorara

[Njugush @BlessedNjugush]

1/2 Sick and tired

[Bonnie Mwangi, CPA, LLM, MBA @MwangiBonnie]

My fellow Kenyans,

I told you yesterday that my next County to review would be Migori County.

I am here to discuss my findings with you, and then some.

Let me start by saying the following:

One. My analysis looked at ONLY three years – 2020, 2021, and 2022.

Two. Most people are already aware of the fact that the ex-Governor, Mr. Okoth Obado, has been charged with stealing KSH 2 billion from the good people of Migori. The proceeds of this crime spree were used to acquire real estate, cars, and pay for his children’s education abroad. If you have followed the case against Mr. Okoth Obado, you will already know that the way he stole from the people was a bit more “sophisticated” relative to what we saw in Turkana and Mandera.

For example, in Turkana, the government would sign a contract for KSH 120 million with a contractor to build a mansion for the Governor. The contractor would then disappear, and then the County would apparently “find” another contractor to do the job. Basically, unsophisticated stealing. In the case of Mr. Obado, the stealing was largely done through inflating project costs, authorizing projects or services that added no value to the people, as along as he got kickbacks, and so on. So, bear this in mind when I outline my findings. You will see transactions that just leave you asking, why would anyone do this? And the reason is easier to understand once you know that there will be kickbacks for the Governor.

Three. Unbelievably, the government has agreed to settle the theft of KSH 2 billion with the thief, as long as he pays approximately 10% of the proceeds of corruption. Let me repeat, the government, has agreed to strike a deal with the thief, whereby the thief will give up 10% of the stolen loot. And that is your justice system, in motion.

Four: Nothing I highlight here is new to the thieves of public resources, or the government. You will notice that the figures are not “rough estimates”. They are outlined to the last shilling. This should be a testament of their veracity.

Five: You will also notice that nobody has come out to dispute my analysis of Mandera and Turkana County corruption. Nobody. There is a reason for this, and it is not because the thieves have not read the analyses, or that somehow, they cannot speak. It is because they know all of it is true.

Six. Because most people know that Migori County was a crime scene during Okoth Obado’s tenure, while I highlight my findings for the period I reviewed, I want to say that I think the best value of my analysis is 1) my review and analysis of the sheer stupidity of our government structure, and 2) my review of HOW reckless and careless our leaders are with our scarce resources, across the country, using Migori as an example.

Key numbers for our discussion:

Population: Approximately 1 million.

KSH 9 billion. County budget is approximately 9 billion.

KSH 131, 203 (or $1,093). Average annual income.

KSH 12 million: Governor’s Income, before benefits. This translates into an income that is 92 times the amount the average citizen earns in Migori.

Number of MCAs: 59. For context, the State of Montana in the US which has a population comparable to Migori, has a total of 150 members of the local assembly (in both house and senate). But as you will see, Montana’s economy is 42 times bigger than Migori’s.

4%. Migori is only able to raise 4% of the money it needs to support itself. This can only keep the County open for 15 days in a year with 365 days. For comparison, Montana raises 70% of funds it needs to support itself and receives 30% from the Federal Government. And it is the state getting the most help from the Federal Government in the US.

900 Million. The local County Assembly costs you and I approximately KSH 900 million. Imgaine that multiplied by 47 counties. And I have not even talked about the Governor's offices.

KSH 15.7 million. Every MCA has an overall cost of KSH 15.7 million to the County. Think about that. One single MCA in Migori attracts about KSH 15.7 million in costs.

KSH 894 million. The County of Migori spent 894 million in domestic travel in 2022 alone. 894 million in domestic travel. About 10% of the overall budget.

KSH 86 million. The County paid out an average of KSH 86 million in MCA sitting allowances, ANNUALLY, between 2020 and 2022.

KSH 100,000. MCA salary is roughly KSH 100,000 per month.

KSH 124, 867. This is the average “sitting allowances” MCAs earned, PER MONTH, between 2020 and 2022.

KSH 224,867: When you combine the salary and the sitting allowances alone, an MCA made KSH 224, 867 per month between 2020 and 2022. That is before other “allowances”. That income is about 20 times the income of the average citizen in that County.

KSH 92 million. The County of Migori spent KSH 92 million in 2021 on “catering” alone for its politicians and its staff.

32%. Poverty rate: 32%.

Corruption

As I indicated previously, the level of corruption in Migori is beyond anything imaginable.

Think about this for context: Mr. Okoth Obado, the former Governor of Migori, was charged with stealing KSH 2 billion from the County. KSH 2 billion. More than 20% of the Annual County Budget. And he is not in jail.

One man can steal over 20% of a County’s Budget, in this country, and get away with it.

Take a look at the first two pictures. They contain a summary of my findings after looking at ONLY 2020 to 2022.

As you review, recall that Okoth Obado used a bit of a more sophisticated method of stealing, which generally involved authorizing projects and payments that make no sense, provided no value to the people, or were inflated, just so he could get kickbacks.

I will only highlight a few here.

In 2022, KSH 180 million is apparently transferred to local teams within the County. Nobody can show any record as to how this amount was used, on any services. None.

In 2022, there is KSH 108 million in expenses relating to a project funded by grants that NOBODY can substantiate. No records.

In 2022, KSH 44 million in payments for legal services while NOBODY knows the reason for the services, or has seen any contract. Remember the County has a legal services team that costs the County over KSH 100 million annually.

In 2022, the County spends KSH 163 million on a project which, once complete, it is found that NOBOBY is using it.

In 2021, KSH 40 million is paid out to “employees”. NOBODY in the County can show any evidence of anyone requesting the employees, or point to one person as having been employed.

In 2021, KSH 38 million is paid to "suppliers" of sports equipment and uniforms. The county could not point to one beneficiary of the equipment and or uniform.

In 2021, KSH 26 million is apparently sent to community development committees that provided no plans or documentation of WHAT the money would be used for.

In 2021, this poor County, where the average citizen makes KSH 130,000 per year, pays KSH 54 million to a "consultant" for consulting services for an "ultra-modern stadium. County could not provide any contract whatsoever, or any evidence of public participation. And they cannot show a contract for the services, but they paid KSH 54 million.

In 2020, the KSH 61 million in legal fees paid to a "supplier" without support, and despite the County having a County legal team. NOBODY can substantiate the reason for the payment to auditors.

In 2020, KSH 1.3 billion in "bank deposits" could not be confirmed. The County could not furnish documents to auditors to confirm the existence of the amount.

Folks, I was able to identify between KSH 1.5 and 1.7 billion in potential fraud between 2020 and 2022, ANNUALLY. ANNUALLY.

The Big Picture

As I said before, most people knew that Migori was looted by Okoth Obado to a carcass. People probably were not fully aware of the scope of the crime, or the method.

What I want to do now is discuss the other BIGGER PROBLEM, which is our structure of government, and how it is a TOTAL DISSERVICE TO KENYANS.

Look at the third picture.

In Table 1, I compare Migori, with a population of 1 million, with the State of Montana in the US, population, also 1 million.

Montana’s economy is 42 times bigger the economy of Migori. 42 times. But Montana only has about three times the number of legislators in its parliament, not 42 times. The name of the game is honesty and efficiency.

The next thing that should really bother everybody is just how careless and greedy politicians are with our money.

As I said before, the County of Migori spent KSH 894 million in 2022 in domestic travel. 894 million.

And approximately KSH 30 million in "Foreign travel", including a trip to "Malaysia" for an "International Leadership Conference" that cost you KSH 5 million, and a trip to Arusha to witness a swearing in ceremony that cost you KSH 4.8 million. Think about that. A swearing in ceremony to Arusha.

For context, the County spent more money on domestic travel than: Agriculture department, Education department, Trade department, Lands and Planning department, Public Health, and the amount they spent on “development” in the Roads and Public Works department. Let that sink in.

The County spends about KSH 900 million on the County Assembly ANNUALLY. For 59 MCAs. That is the equivalent to KSH 15.7 million per MCA.

As I said before, between 2020 and 2022, an MCA earned more in “sitting allowances” than their actual income. They earned KSH 124, 867 in just sitting allowances. Per month.

Now, context is key, right?

In the State of Montana, state legislators in Montana are paid: 1) $104.86/day (Equivalent to $13.11/hour) for their legislative duties. This is barely above minimum wage. $13.11 per HOUR. 2) Per DIEM rate $171.00/day of service. 3) $8.25(Breakfast)/ $9.25(Lunch)/ $16.00(Dinner). 4) $122 for hotel room.

The compensation you see above shows a government that is keen on efficiency. And attracting those people who see serving in public office as “public service”, as opposed to a way for self-enrichment.

Believe me, $122 for a hotel room will not get you anywhere near the Four Seasons Hotel.

They do not get a salary that is 20 times the average citizen.

The thing that will shock you is just generous the government is with your money. Generous to themselves, NOT you.

As we see in other counties, the vast majority of the funds allocated to many departments go to salaries and very generous benefits.

I will use two departments to illustrate this point.

Look at Table 3 on the third picture. I took the County’s Department of Agriculture's budget for 2020, which was KSH 209 million, and reviewed the breakdown of the department cost projections (they provided it with the budget). As you can see in Table 3, 47% of the budgeted expenses were for salaries, and 22% of the expenses were for various allowances, leaving only about 30% for everything else.

That’s one department. So let me show you another one.

Take a look at Picture Number 4. On the left is a summary of the budget for the County Assembly for 2020. In this budget, MCAs earn KSH 71 million in basic salaries. The County also pays out KSH 97 million to other staff.

On top of that, MCAs earn KSH 100 million in sitting allowances, KSH 15 million in “house allowances”, KSH 31 million in in “special day allowances”, KSH 17 million in “Responsibility allowances”, KSH 13 million in “Extraneous allowances”, KSH 5 million in “Leave allowance”, and KSH 4 million in telephone allowance. When you tally up these “allowances” you easily notice two things. One, they often double the compensation, which generally is already very generous. Two, you don’t ever see such compensation on your own pays slip, unless you work for the government.

But you have to admit, whoever comes up with the names of those allowances is very talented. I could not hold my laughter after seeing “responsibility allowances”.

So, take these two examples, the Agriculture department and the County Assembly, where you see that the vast majority of the budget is spent on compensation and benefits, and what appears to be non-stop travel and partying, and extrapolate that across the County’s KSH 9 billion budget. And now you can see how a county can spend over KSH 80 billion in a decade, and yet when you look at the fundamentals of the County, there is nothing to show for it. People are still poor, schools are still in ugly shape, and healthcare is still a myth. The only thing different is that corrupt politicians are wealthier, and bolder.

That is why, as I stated before, we have to ask the question of, what is the role of government in Kenya. It clearly does not serve the We The People.

The takeaways here are the following:

1) Kenya needs a reset. We cannot continue on this deadly path that that we are on.

2) Nobody is coming to save Kenyans from these thieves. Our institutions are totally ineffective. If one corrupt politician can steal 20% of a County’s budget, and get away with it, then we are the textbook example of a banana republic. We should NOT deny that anymore.

3) While it is true that our institutions are corrupt and ineffective, there is no amount of resources than can overcome the damage we do to ourselves when we elect thieves and people of questionable character. The EACC, even if it was a serious entity, would never overcome the looting that is going on. Think about this. All the looting I highlighted here and in previous cases, is PUBLIC INFORMATION. Yet, thieves are still walking around like they have not done anything.

4) The reason for our economic problems are not just because we elect thieves into office. We also seem to have a penchant for people that are NOT good stewards of our resources. Let me explain this one. In the last ten years, we have pumped KSH 100 billion to Turkana. Ten years after, Turkana County can only keep its lights on for about 4 days of the year. 4 days. And when you look at how Turkana County is earning the pittance it is earning locally, you find that it’s mostly from “slaughter fees”, and “market fees”. So, basically, after KSH 100 billion is invested in one county, we have a KSH 100-billion-shilling slaughterhouse and market. That is what we have, ladies and gentlemen. How is this sensible in a poor country? In Migori, after close to KSH 80 billion, this county can only keep itself in business for 15 days out of the year! 15 days.

One final thing. On the right of Picture 4, you see the trend of our national debt since around 2013. This is the time we got this diabolical structure of government.

Do you notice the steady climb in our debt from around 35% of the GDP to over 70%? Our national debt has gone up by close to 500% in just ten years of this structure of government

It is not a surprise. Our government has been running budget deficits every year, because it cannot afford its bills, including this stupid government structure. And so, while your County Government is living large, spending KSH 894 million on domestic travel, your bill is increasing every day and is coming due.

All you have to do is try and extrapolate what I just described above across the 47 counties in the country, and you will see the magnitude of our problem.

Why would anybody do this to themselves?

And so, when politicians are looking at you and asking you why you are trying to burn down the "country", the country I describe above, where politicians are outrightly stealing 20% of the budget and then taking almost half of what is left for themselves through salaries and ridiculous allowances, is what they have in mind. It would make sense that they don't want this boat to be rocked.

Our politicians' game right now is to cause so much confusion that Kenyans lose track of what is happening.

That is precisely why Governor @GovernorNanok can loot Turkana and leave it desolate as ever, and is today on State payroll. Let that sink in. In Kenya, you steal from the most vulnerable among us, and you are given keys to State House.

The message is, "lala uporwe".

But they must realize that Kenyans are now aware that this game is rigged.

Our duty is to look at these thieves straight in the eye and resist them with all our might and tell them their day of reckoning is coming.

@WilliamsRuto @GovernorNanok @EAukot @NationBreaking @citizentvkenya @rigathi @MigoriCountyGov @EricLatiff @TIKenya

[Gitau Alex (lexxgits) @lexxgits]

@KinyanBoy She fell for a thug also while acting for The Real House helps of Kawangware?

[Gitau Alex (lexxgits) @lexxgits]

@mwalimu_dida Ask @EzekielMutua, he's the one who paid her.
Labda ni mboch wake

[Gitau Alex (lexxgits) @lexxgits]

@Calypsoforte Weeeeuh, hapo kwa Sakaja is a big let down I tell ya

[Gitau Alex (lexxgits) @lexxgits]

@EzekielMutua You still are not responding to general queries people are raising.
You guys use 70% of collections on admin work and distribute only 30% or even less?

Who is Rehema Lugose?

[Gitau Alex (lexxgits) @lexxgits]

@ahmedsalims @DonaldBKipkorir @AhmedAidarus_ @JerotichSeii I feel for her too...... Na kuna fala flani anaitwa @SakajaJohnson amepea hii story block, you wouldn't even imagine ni the governor concerned.
What a waste of a vote ❎

[Gitau Alex (lexxgits) @lexxgits]

@EzekielMutua Who is Rehema Lugose?

[Gitau Alex (lexxgits) @lexxgits]

@Noninimgenge2ru @EzekielMutua could also post how much you received personally? We compare with these real beneficiaries. Ama we wait another motivational and self praising post?

[Gitau Alex (lexxgits) @lexxgits]

@EzekielMutua They deal with one thief at a time, I guess?

[Gitau Alex (lexxgits) @lexxgits]

@JerotichSeii @WilliamsRuto @OleItumbi manze you guys can't pick this up as well. Huyu madam is fighting a solo but genuine and just fight. These are things that would leave an indelible mark/legacy on the President.
I salute and stand with you @JerotichSeii

@SakajaJohnson buda, hapa ndio utapoteza sana

[Gitau Alex (lexxgits) @lexxgits]

@EzekielMutua A complex situation that needed urgent correction, was when you got into that office, you should have done everything possible to ensure that administrative costs don't take up 70% of the CMO collections.
But no, you sat there comfortably, eating a good salary at artist's expense

[Gitau Alex (lexxgits) @lexxgits]

@EzekielMutua Bro.... Honestly, stop making this about yourself. It's really not. It's an institutional problem and happens that you are currently it's head.
It's an issue of accountability and the fact that you continue to benefit from that accountability gap, and doing nothing about it

[Gitau Alex (lexxgits) @lexxgits]

@muasya_ben @OleItumbi @EzekielMutua This was Ezekiel's own advert on his Twitter handle. 20 million distributed to 16k artists.

Now stop being a lazy borne, go figure out how much MCSK collected during that particular period vis a vis the 20 million given to artists. Also find out how much he earned, same period.

[Gitau Alex (lexxgits) @lexxgits]

@muasya_ben @OleItumbi @EzekielMutua A real document from MCSK website for FY 20/21, the last annual report there:

—Gross income was KES 126M
—Staff costs & board & members expenses: KES 64M (51% of income)
—Admin costs: KES 40M (32% of income)
—Distribution to artists: KES 22M (17% of income)

Want more evidence?

[Gitau Alex (lexxgits) @lexxgits]

@Kabogo_Henry Check, how much Ezekiel earned last year in total and compare that with the artist who was highest recipient of the CMO collections.