Photo courtesy of KeRRA

Inquiry into allegation of conflict of interest, abuse of office, and embezzlement of public funds amounting to KSh108,501,993 by a senior accountant at the Kenya Rural Roads Authority Turkana Office.

EACC investigation

The Ethics and Anti-Corruption Commission (EACC) commenced investigation following receipt of a complaint of conflict of interest and embezzlement of public funds against a senior accountant at the Kenya Rural Roads Authority (KeRRA) Turkana Regional Office. The complaint was that tenders were awarded to companies related to the senior accountant at KeRRA Turkana. The companies alluded to in the complaint, were Felia Company Limited, Trinam Company Limited, Joekin Company Limited and Kife Company Limited.

Investigation established that the senior accountant reported to KeRRA Turkana on 8 June 2020. This is around the time the companies were registered and begun trading with KeRRA. Kife Company Limited was registered on 3 July 2020, Felia Company Limited and Trinam Company Limited were registered on 19 October 2020, and Joekin Company Limited was registered on 28 May 2021.
Investigation established that KeRRA Turkana Region awarded 31 tenders to the 4 companies from the financial year 2019/2020 to the financial year 2022/2023, and cumulatively paid the companies KSh. 216,938,688.

Investigation further established that none of the directors of the four companies were related to the senior accountant of KeRRA Turkana. However, investigation established that the director of Kife Company Limited, Trinam Company Limited and Joekin Company Limited on diverse dates transferred KSh. 2,916,000 from his mobile phone to the senior accountant’s two mobile phones. The senior accountant of KeRRA Turkana also received KSh3, 341, 580.00 from the director of Felia Company Limited.

Investigation further established that the director of Kife Company Limited, Trinam Company Limited and Joekin Company Limited sent KSh1,100,000 to the KeRRA Turkana Regional manager. Both the senior accountant of KeRRA Turkana and the KeRRA Turkana Regional Manager did not justify why they were receiving money from the directors of the four companies.

Investigation further established that Felia Company Limited and Joekin Company Limited made payments to Jureli Enterprises Limited. The Director of Jureli Enterprises Limited confirmed that the payment was for construction materials delivered to Mutomo Highway Cottages, a hotel owned by the Senior Accountant of KeRRA Turkana.

EACC recommend charges

On 10 July 2024, a report was compiled and forwarded to the Director of Public Prosecutions (DPP) with recommendations that the KeRRA Turkana Regional Manager, the senior accountant of KeRRA Turkana, and the directors of Kife Company Limited, Joekin Company Limited, Felia Company Limited and Trinam Company Limited be charged as follows: –

(i) 4 counts of conflict-of-interest in violation of section 42 (1) as defined by section 48 of the Anti-Corruption and Economic Crimes Act No. 3 of 2003.

(ii) 2 counts of abuse of office in violation of section 46 as defined by section 48 of the Anti-Corruption and Economic Crimes Act No. 3 of 2003.

(iii) 3 counts of fraudulent acquisition of public property in violation of section 45 (1) (a) as defined by section 48 of the Anti- Corruption and Economic Crimes Act No. 3 of 2003.

(iv) 1 count of unlawful acquisition of public property in violation of section 45 (1) (a) as defined by section 48 of the Anti-Corruption and Economic Crimes Act No.3 of 2003.

(v) 3 counts of money laundering in violation of section 3 (a) (i) as defined by section 16 of the Proceeds of Crime and Anti- Money Laundering Act.

On 16 September 2024, the DPP returned the inquiry file with recommendations for further investigation.

Primary source: Kenya Gazette, Notice No. 16427