Tukomeshe Ufisadi, Tuijenge Kenya Combating Corruption, Unethical Conduct and Practices within the County Governments Vincent O. Okong’o Director, Preventive Services Ethics and Anti-Corruption Commission Travellers Beach Hotel Mombasa 24th June 2015 Tukomeshe Ufisadi, Tuijenge Kenya

Outline Part I: Introduction Part II: EACC Strategies Key concerns on devolution Mandate of EACC Evidence on corruption in counties Part II: EACC Strategies Key Anti-Corruption Strategies and Programs for counties Institutionalizing Anti-Corruption in Counties Part III: Challenges & role of ICPSK Challenges in the Fight Against Corruption Role of ICPSK

Part I: Introduction “I often wonder whether we do not rest our hopes too much upon constitutions, upon laws and upon courts. These are false hopes. Integrity lies in the hearts of men and women; when it dies there, no constitution, no law, no court can save it; no constitution, no law, no court can even do much to help it.” Anonymous

Background Corruption is the single greatest obstacle to economic and social development. Undermines development by: Distorting the rule of law and promotes impunity Weakening institutional foundations which economic growth depends on Disincentive effects to investments Disallocative effects - moving resources from public good projects to private hands

Background cont’d Devolution - the cornerstone towards the attainment of the Kenya Vision 2030 goals and priorities. Objects of Devolution (Articles 174 and 175 of the Constitution): Promotion of democracy and accountability in the exercise of power Fostering national unity by recognizing diversity Enhance people’s self-governance Enable people manage their own affairs Protect and promote interests and rights of minorities and the marginalized Ensure equitable sharing of resources Devolution opens avenues for corruption

Key Concerns with Devolved Resources Corruption always follows resources yet no systems to manage devolved funds and ensure transparency and accountability Devolution is a new phenomenon whose implementation in Kenya is as recent as March 2013 County Governments have not yet established robust structures and systems to address the challenges of accountability and good governance Outright violation of laws and regulations governing county governments the rules governing recruitment, procurement and financial management, 30% rule in recruitment not being followed

Governance Challenges in Kenya Capture of state institutions through political processes Public apathy/ignorance Failure of citizens to discharge their civic responsibility Poor leadership in various spheres of life Weak oversight framework Greed and glorification of corruptly acquired wealth

Mandate of EACC Enforce compliance with the requirements of leadership and integrity as provided in Chapter Six Vested with the powers to: Investigate and recommend prosecution Trace and recover corruptly acquired assets Promote best practices in ethics and integrity Prevent corruption through systems review Conduct public education on corruption and ethical issues Offer Advisory services on combating and preventing corruption Partnership with stakeholders in the fight

Functions of EACC Investigation into corruption offences and recommending to DPP for prosecution Public property tracing, recovery and/or protection Court proceedings towards freezing or confiscation of proceeds of corruption or related to corruption, payment of compensation, or other punitive or disciplinary measures. Proceedings for forfeiture of unexplained assets Prevention of corruption and unethical practices Public Education and awareness of corruption and ethical issues Conciliation, mediation and negotiation

Functions cont’d Advisory services on matters within its functions Enforcement of ethics and integrity laws under chapter six of the constitution Partnerships with state and public officers to promote ethics and integrity Developing and promoting standards and best practices in integrity Developing codes of conduct Overseeing enforcement of codes of ethics for public officers Investigating and recommending prosecution for violation of codes of ethics Monitoring the practices and procedures of public bodies to detect corruption and secure revision of methods of work

Corruption and Unethical Conduct in County Governments Corruption is real in county governments as evidenced by: Corruption reports received and currently under active investigations at EACC Intelligence information on operations of some county officials currently being processed at EACC KENAO reports revealing misuse of funds Increasing Public outcry and stakeholder concern Investigative Media reports

Perceived level of corruption in the county governments (EACC, 2014)

Reasons for perceived level of corruption in the county governments

Prevalent forms of corruption in the county governments

High Corruption Risk Areas in County Governments Recruitment of personnel County public procurement County Financial Management Planning and Management of county projects; County legislative duties

Common Forms of Corruption in County Governments Tyranny of ghosts: ghost projects, assets, liabilities, procurement, payroll etc Conflict of interest Bribery Abandoning existing infrastructure in favour purchasing or renting at exaggerated costs Procurement of goods and services not budgeted for or exceeding budgets Irregular expenditure on unnecessary trips at the expense of development Fraudulent claims of allowances

Common Forms of Corruption in County Governments cont’d Willful failure to comply with procurement laws and procedures Abuse of office Nepotism and ethnicity in recruitment and mismatch between skills and positions Irregularities in procurement of residences and offices Serving vested interests to the detriment of public interest; Resisiting oversight by watchdog agencies;

Common Forms of Corruption in County Governments cont’d Overlooking recommendations for reform; Manupilation through political processes; Unethical conduct such as fighting; Failure to consider public input and facilitate public participation in county governance; Receiving gifts not allowed by law;

County Ranking (EACC, 2014) Bribery is the most prevalent form of corruption in public service delivery thus county ranking is based on bribery indices. Top five counties on bribery demands:

County Ranking Below five counties on bribery demands: Rank County Average bribe demands (Frequency) 42 Lamu 1.0 Taita Taveta Mandera Isiolo Nyamira

Part II: Strategies to Mitigate Corruption in County Governments What EACC is Doing

Objectives: To prevent corruption and unethical practices To promote integrity and ethics in the county public services To create public education and awareness To enhance ethical culture and integrity through education, training and awareness To detect, deter and punish corruption Enforce anti-corruption laws.

1. Preventive Strategy Focus: Components: Strengthen systems of governance and service delivery Eliminate loopholes and opportunities for corruption Raise the bar on integrity and ethics in public institutions Components: Prevention Advisories Corruption Risk Assessment and Management Development of governance instruments and establish strong systems for accountability to prevent and combat corruption.

Preventive Strategy cont’d 20 Counties covered: Bungoma, Uasin Gishu, Meru, Narok, Kakamega, Nyamira, West Pokot, Migori, Nandi, Isiolo, Nairobi, Kitui, Machakos, Trans-Nzoia, Taita taveta, Kiambu, Lamu, Samburu, Kilifi and Nyandarua. Output: Action plan signed by the County Government as a commitment to address corruption in their respective departments, functions and operations.

2. Education, Training and Public Awareness Strategy Focus: Public Outreach clinics (caravan and local media) Training of county government staff Training of MCAs 8 Counties covered: Nyamira, West Pokot, Migori, Nandi, Isiolo, Machakos, Lamu, and Kilifi Output: Action Plans for County Assemblies Corruption reporting Increased oversight and social audit of county governments.

3. Promotion of integrity and ethical standards in public service COK 2010 ushers in a major paradigm shift in the governance of the nation It alters governance structures and places heavy responsibilities on all persons entrusted to serve in public office. It introduces a raft of measures aimed at addressing the historical challenges of governance which have bedeviled the country since independence. Key among such measures is the provision for leadership and integrity in the Constitution. Chapter 6 seeks - servant and transformational leadership by demanding high standards of integrity and ethical conduct for State and Public Officers.

Ethics and Leadership cont’d As required under Article 80 of the Constitution, Parliament enacted the Leadership and Integrity Act (LIA), 2012: Establishing procedures and mechanisms for effective administration of Chapter Six of the Constitution on leadership and integrity. Provides for Leadership and Integrity Codes setting out the leadership and Integrity standards expected of State and Public Officers

Ethics and Leadership cont’d LIA - ensures that State Officers uphold and respect the values, principles and requirements of the Constitution while discharging public duty. These include: National values and principles of governance Rights and fundamental freedoms Responsibilities of leadership and principles governing the conduct of state officers Educational, moral and ethical requirements for persons seeking elective office Objectives of devolution Values and principles of public service.

Key Activities under LIA Integrity clearance of persons seeking public office – meeting integrity threshold under Chapter Six Training and Sensitization of State and Public Officials on Leadership and Integrity to promote compliance with Chapter Six and other leadership and integrity laws Investigations aimed at enforcing leadership, integrity and anti-corruption laws among state and public officers recommendations forwarded to the Director of Public Prosecutions for action;

Key Activities under LIA cont’d Development of Regulations for Implementing the Leadership and Integrity Act. Review and approval of leadership and integrity Codes for State Officers with a view to institutionalizing a culture of integrity in public service Technical advisories on compliance with Chapter Six of the Constitution to equip State and Public Officers with the requisite knowledge and skills necessary or compliance with Chapter Six

Key Activities under LIA cont’d Declaration of Income Assets and Liabilities in line with Section 26 (1) of the Public Officer Ethics 2003 which provides that: Every public officer shall, once every two years as prescribed under Section 27, submit to the responsible Commission for the public officer a declaration of the income, assets and liabilities of himself, his spouse or spouses and his dependent children under the age of 18 years. Wealth declarations: Match the assets and liabilities of public officers with their incomes Seek clarifications for any disproportion there might be.

4. Investigation of Corruption and Economic Crime Investigations being carried in a numbers of counties based on: Reports made to the Commission Intelligence reports Interagency cooperation with the Kenya National Audit Office Information from the public 596 Reports Received concerning County Governments (Executives), 1st January 2013 to 19th June 2015

Nature of Complaint No. % of total Embezzlement/Misappropriation of Public Funds 130 21.81 Abuse of Office 107 17.95 Public Procurement Irregularities 104 17.45 Maladministration 49 8.22 Civil Issues 42 7.05 Bribery 36 6.04 Fraudulent Acquisition and disposal of public property 28 4.70 Unethical Conduct Fraud 23 3.86 Conflict of interest 21 3.52 Labour Issues 10 1.68 Penal Code Offences 8 1.34 Bid Rigging 5 0.84 Breach of Trust 3 0.50 Unexplained Wealth 1 0.17 Deceiving the Principal Total 596 100.00

5. Regional Expansion Regional Presence: Upper Coastal Regional (Malindi Office) Lower Coastal Regional (Mombasa Office) North Eastern Regional (Garisaa) Upper Eastern Regional Office (Isiolo) Lower Eastern Regional Office (Machakos) Central Regional Office (Nyeri) South Rift Regional (Nakuru) North Rift Regional Office (Eldoret) Western Regional Office (Kisumu) Satellite offices (JKIA and Malaba) Huduma Service Centers

6. Institutionalization of the War Against Corruption Leadership, commitment and focus Integrity/corruption prevention committees (mainstreaming anti-corruption strategies); Develop and implement various governance instruments – policies, codes, service charters Training and awareness of staff on integrity and anti-corruption issues Implement integrity reward scheme to motivate outstanding officers

Institutionalization of the War Against Corruption cont’d Enforce effective performance management systems (PCs); Integrity Testing Programme; Strengthen internal controls to seal loopholes; Open and maintain gifts and conflicts of interest registers in line with LIA; Develop and review Codes of Conduct and Ethics; Benchmark best performing institutions

Part III: Issues/Challenges and the Role of ICPSK in Combating and Preventing Corruption

Challenges in the Fight Against Corruption The Complex and Secret nature of corruption Cross Border Aspect of Corruption Insufficient technology in anti-corruption processes Entanglement of the Body Politic in Corruption Weak institutional framework for fighting corruption and promoting ethics and integrity Citizen apathy and inadequate public participation in governance processes

Role of ICPSK in Combating and Preventing Corruption Take up and discharge the role of professionals in county governance Remove quacks from professional services Enhance commitment to quality management and promote best practices Enhance commitment of members to professional ethics Increase integrity and anti-corruption awareness Initiate public debate on good governance Name and shame corrupt professionals

Conclusion God Bless Kenya A successful war against corruption requires a multi-sectoral approach. All stakeholders are called upon to discharge their respective roles for the nation to register meaningful success in the fight. God Bless Kenya