The MP died while receiving treatment at a hospital in Nairobi.
The project is expected to be completed in two years.
As of February, over 19 million Kenyans had registered for the health scheme.
The fraudsters conned the Chinese man in one of Nairobi's affluent neighbourhoods.
CJ Koome is under siege, with several lawyers seeking her ouster.
Parents have until Friday to ensure compliance as directed by KNEC.
The petition has received nearly 15,000 signatures.
COTU has threatened to take legal action before in a similar scenario.
The plan could see crackdowns on motorists on the busy highways.
Raila made the sentiments moments after a consultative meeting with Kenyans.