Big names in graft cases stare at bleak future after Waluke shocker

Prominent politicians and former senior civil servants are some of the big fish staring at a bleak future if convicted following the landmark graft case concluded on Thursday.

If found guilty, the accused will not only pay hefty fines running into billions of shillings but also probably spend their entire lives behind bars.

Such a fate is highly likely following the conviction of Sirisia MP John Waluke and his co-convict, who were sentenced to a combined jail term of 136 years, if they fail to pay court fines totalling Sh2.1 billion.

The two were found guilty of defrauding the National Cereals and Produce Board of Sh313 million in a maize deal in which they supplied air.

While sentencing the two, Chief Magistrate Elizabeth Juma relied on the Penal Code and sections of the Anti-Corruption and Economic Crimes Act, which specified a mandatory penalty for some of the offences.

“Where there is discretion, I would exercise it judiciously. But in this case, there are aspects in the Anti-Corruption and Economic Crimes Act that are mandatory and the court has no option but to pass a sentence as prescribed in the law,” she ruled.

The magistrate quoted Section 48 of the Anti-Corruption And Economic Crimes Act, which states, “A person convicted of an offence under this part shall be liable to (a) a fine not exceeding Sh1 million or to imprisonment for a term not exceeding ten years, or to both; and (b) an additional mandatory fine if, as a result of the conduct that constituted the offence, the person received a quantifiable benefit or any other person suffered a quantifiable loss.”

Further, the section states that the mandatory fine “shall be equal to two times the amount of the benefit or loss,” and “if the conduct that constituted the offence resulted in both a benefit and loss,” then the mandatory fine shall be equal to two times the sum of the amount of the benefit and the amount of the loss.

Although this section of the Act has existed for almost 10 years, the anti-corruption courts are invoking its use like never before as part of the intensified fight against graft.

As a result of the ruling, several high-profile individuals facing graft charges are staring at a bleak future as their cases continue in court.

Key among them are governors Mike Sonko (Nairobi), Moses Lenolkulal (Samburu) and Sospeter Ojamoong (Busia), and former governors Evans Kidero (Nairobi) and Ferdinand Waititu (Kiambu).

Mr Waititu is facing a Sh588 million corruption case while Dr Kidero is facing irregular payment of Sh68 million by the Nairobi County government.

On June 10, Dr Kidero lost an application in which he wanted the evidence of a key witness expunged from court records.

Other ongoing court cases include a Sh536,986,493 fraud case involving the Kenya Medical Research Institute and a Sh1.25 billion Kenya Pipeline Company (KPC) case in which former KPC managing director Shem Ochuodho and two former senior managers of the State corporation were charged over the scam.

There is also the prosecution of Ministry of Education officials over the embezzlement of Sh14 million of public funds for the World Bank/ Government of Kenya-funded Education Sector Support Programme and a Sh1.6 billion scam involving former employees of the National Social Security Fund.

Other matters are awaiting the direction of the Director of Public Prosecutions after the accused pleaded guilty and requested plea bargaining.

The notable one is the matter involving former National Land Commission chairman Muhammad Swazuri and 16 others in which the accused face more than 20 counts, including corruption, abuse of office, financial misconduct, fraudulent acquisition of public funds and money laundering.

In the Samburu matter, Governor Lenolkulal is accused of trading with the county government through Oryx Service Station for the supply of fuel.

Court documents indicate that the county government paid Sh84,695,996 to the fuel station.

The governor’s co-accused include his deputy Julius Leseeto, County Secretary Stephen Letinina and six chief officers.

Former Treasury Cabinet secretary Henry Rotich and his principal secretary (PS) Kamau Thugge are also in court over the Arror and Kimwarer dams scandal.

Others being charged over the scandal are former PS Susan Koech, former Kerio Valley Development Authority boss David Kimosop and former Treasury officials Kennedy Nyachiro, Jackson Njau and Titus Muriithi.

Former KPC managing director Charles Tanui and seven others face accusations of defrauding the company of Sh644 million.

Another issue of focus is the Sh116 million fraud at the National Hospital Insurance Fund (NHIF).

Another former NHIF CEO Simeon ole Kirgotty and two others are facing charges over the procurement of an integrated revenue collection system for Sh49.5 million without planning.

There is also NYS II, which involves former PS Lillian Omollo and former NYS director-general Richard Ndubai, who are charged over the alleged loss of money at the agency.

The matter involves the Ngirita family where they are charged with occasioning the loss of Sh468 million at NYS.

Former Kasarani MP Elizabeth Ongoro and her husband are also being charged with embezzling Sh48 million in public funds meant for the construction of Kasarani Girls High School.

Mr Richard Lesiyampe, a former Agriculture PS, is being tried over the irregular purchase of maize worth Sh11 billion by the National Cereals and Produce Board in August 2018.

Former Foreign Affairs principal secretary Thuita Mwangi is being tried for approving the purchase of a property for the Kenyan embassy in Japan for 1.75 billion Japanese yen (Sh1.07 billion) in contravention of procurement procedures.

The Sunday Nation has established that the court has finalised some cases involving billions of shillings where rulings are pending.

The first is the country’s oldest surviving corruption case, which kicked off on June 16, 2009 but has dragged on for the last 11 years.

The case involves fugitive billionaire Yagnesh Devani in the infamous Sh7.6 billion Triton scandal.

Mr Devani has not been sentenced as he is yet to be extradited to Kenya from the UK, where he has been on the run.