Law makers have commenced investigations into how Moi University spent Sh30 million to construct a gate and  took  Sh 3 billion loan  from Exim Bank to acquire a broke Eldoret-based textile manufacturer Rivatex.

The lawmakers who sit in the National Assembly’s Public Investments Committee on Education have summoned National Treasury Cabinet Secretary John Mbadi,  his counterpart in the education sector Julius Ogamba, officials from the industry department and former VC Richard Mbeyi to appear before them in the next two weeks to explain how they allowed the university to spent billions of shillings on such a dead project instead of injecting the money into the university for other purposes.

On the Sh 30 million gate,  the MPs sought to know why the  university management had cancelled an initial tender of Sh4.8 million that had already been paid to the contractor , and thereafter, proceed to spend another Sh 25 million  to construct another  gate without following the right procedures.

Led by the chairperson Bumula MP Wamboka Wanami, the MPs  who were meeting top officials of  Moi University  led by vice chancellor Isaac Kosgey, were shocked to learn that despite the university taking such a huge loan and spending an additional  Sh600 million to acquire the facility, it  has been making loses of Sh300 million every year.

The lawmakers could not further comprehend  why the university acquired the facility yet it would only cater for 600 learners out of the 30 000 students that the institution has.

Said Wamboka: “How do you as a university commit the National Treasury to acquire a dying entity at Sh 3.3 billion and when you do that and the institution starts making losses you throw it away and say it is now in another department.”

He added: “You spent Sh 3 billion on a dead project and your university is ailing. Imagine today if you are given Sh 3 billion, I would expect you to  use it to improve learning in schools and infrastructure such as hostels.”