The EACC on Tuesday, 8 September, confirmed that PS Kaberia, Stephen Njoroge Muthama, John Kiende Ruga, Samuel Mbaa Njoroge, Enock Ondwari Onditi and Antony Mwangi Kimathi had been arrested, while outlining the allegations against them.
“EACC has arrested six suspects over the alleged irregular award and payment of a contract for the supply and installation of security, access control, communications, audio-visual and pitch lighting systems at various stadia in Kenya ahead of the 2018 CHAN,” read part of a statement issued by the commission.
“The contract, valued at USD15.89 million, approximately KSh1.5 billion, was awarded in 2017 by the State Department for Sports Development in the then Ministry of Sports, Culture and the Arts to M/s Auditel Kenya, a Spanish company registered in Kenya.
EACC investigations established that an advance payment of USD3.15 million, approximately KSh330 million, was made to the company under a contract that was not procured in accordance with the Public Procurement and Asset Disposal Act, 2015.
The company subsequently failed to fulfil its contractual obligations, resulting in the loss of KSh330 million in public funds.”
According to the EACC, the funds were later transferred through various entities in an attempt to conceal their source before being moved back to Kenya and into accounts linked to the six suspects, raising the commission’s attention.
“The Commission further established that the funds were transferred through various entities in an effort to conceal their source and facilitate their movement back to Kenya,” the statement added.
Muthama is currently a Senior Principal Finance Officer at the Ministry of Education, while Ruga serves as a Senior Superintendent Engineer at Sports Kenya. Njoroge is a Tax Advisor and Partner at Taxwise Africa.
Onditi is a former Principal Accountant at the State Department for Sports Development, while Kimathi is a former employee of Instalaciones Inabensa, S.A.
Four other suspects: Harun Komen Chebet, former Director of Administration at the State Department for Sports Development; Marcos Gonzalez Puente, Director of Auditel Ingenieria Y Servicios; Kitheka Muema, a former Audit Committee Member at FKF; and Ephraim Muchangi Kinyua, an Automobile Business Consultant — have been directed to present themselves to the EACC or the nearest police station.
In addition to the individuals, the DPP has preferred charges against six companies: Auditel Kenya, Taxwise Consulting Limited, Restea Enterprises Limited, Lease Pride Limited, Leasepath Limited and Liroma Assurance.
According to the DPP, the suspects will face charges including conspiracy to commit an economic crime, unlawful acquisition of public property, money laundering, abuse of office, failure to comply with procurement laws and financial misconduct.
“In addition to the criminal proceedings, the Commission has instituted civil proceedings seeking the recovery and forfeiture of public funds and assets alleged to have been acquired through proceeds of crime arising from the matter,” said the EACC.
The suspects are expected to be arraigned before the Anti-Corruption Court at Milimani in Nairobi later on Tuesday.
The case is among the highest-profile corruption cases to hit Kenya’s sports industry, which has faced increased scrutiny over alleged corruption and misappropriation of public funds.
The EACC has reaffirmed its commitment to protecting public resources and holding accountable public officers and other individuals entrusted with public funds.
“EACC remains committed to protecting public resources and ensuring that public officers and other persons entrusted with public resources are held accountable when they abuse their positions for private gain,” the commission said.
