Gachagua, Atwoli clash over alleged misuse of NSSF funds

Former Deputy President Rigathi Gachagua and COTU Secretary General Francis Atwoli have clashed over claims that funds from the National Social Security Fund (NSSF) are being diverted to finance road construction and other public infrastructure projects.

Speaking at a church service in Kilifi on June 8, 2025, Gachagua alleged that the government had redirected billions of shillings from the NSSF to infrastructure development.

He challenged Atwoli to publicly condemn what he described as an illegal use of retirees’ savings.

“Atwoli has been quiet for a long time, but now we can see he can see clearly. At NSSF, where he serves as one of the trustees, workers’ savings have been diverted to build the Bomas of Kenya and the Rironi–Mau Summit Road,” Gachagua claimed.

“This means retirees may not be able to access their money when they need it. We want Atwoli to speak about this NSSF money just as he has talked about the housing levy.”

In response, Atwoli issued a scathing statement on Saturday, June 8, 2025, condemning Gachagua for what he termed as spreading misinformation and misleading Kenyan workers.

“Mr. Gachagua’s claim that NSSF funds are being misappropriated is not only a distortion of facts but also a dangerous attempt to politicise a critical institution that safeguards the future of millions of Kenyan workers,” Atwoli said.

COTU warned that Gachagua’s suggestion for workers to withdraw their NSSF contributions amounted to economic sabotage and called on the government to consider taking legal action against him.

“It is reckless and outrightly malicious for Mr. Gachagua to encourage Kenyans to destabilise the NSSF. Such utterances border on economic sabotage,” Atwoli stated.

The union further clarified that Atwoli is no longer involved in the fund’s investment decisions, having exited the NSSF Board in 2021 when his term expired.

COTU defended NSSF’s investment practices, noting that they are governed by strict regulations approved by the Retirement Benefits Authority (RBA) and managed by licensed investment managers.

However, the union urged the NSSF Board of Trustees to publicly address audit queries raised by the Auditor General concerning Sh16 billion in the financial year ending June 2024.

While underscoring the need for transparency, Atwoli supported the idea of investing pension funds in public infrastructure.

He cited examples from Tanzania, Uganda, and South Africa where pension funds have been successfully used to finance national development projects.

“It is far better and more secure for NSSF to invest in government infrastructure than to engage in questionable dealings with individuals like Mr. Gachagua,” he added.

COTU urged Gachagua to stop making “misleading, inflammatory, and self-serving remarks” on matters affecting the welfare of Kenyan workers, accusing him of politicising their retirement security.

Speaking at another public event in Mazeras on June 7, 2025, Gachagua also claimed that NSSF funds were being funnelled into questionable deals, including a 99-year lease of Bomas of Kenya to an Indian investor.