Hello

Your subscription is almost coming to an end. Don’t miss out on the great content on Nation.Africa

Ready to continue your informative journey with us?

Hello

Your premium access has ended, but the best of Nation.Africa is still within reach. Renew now to unlock exclusive stories and in-depth features.

Reclaim your full access. Click below to renew.

Fresh troubles for Chiloba as EACC seeks information on mortgage deal

Suspended Communications Authority of Kenya CEO Ezra Chiloba during a past event. 

Photo credit: File | Nation Media Group

The Ethics and Anti-Corruption Commission (EACC) has launched an investigation into Communication Authority of Kenya (CA) director-general Ezra Chiloba, weeks after he was suspended from his post.

Mr Chiloba was suspended indefinitely from his role as CA director-general in mid-September following allegations of abuse of office and conflict of interest.

EACC has now formally written to the acting CA Director General Christopher Wambua to share vital documents and information on the matter.

“The commission is investigating allegations of abuse of office and conflict of interest against Ezra Chiloba, the suspended Director General, CA during the financial years 2021/2022 to 2023/2024,” EACC director of investigations Paschal Mweu said in a letter.

In the letter dated September 28, the EACC is seeking original documents for the mortgage loan budget for the financial years 2021/22 to 2023/24, bank statements for the mortgage scheme for the period 2021/22 to 2023/24, internal audit report and National Treasury audit report.

Authorised panel

The anti-graft agency also wants the CA to provide it with its mortgage loan policy, mortgage loan book and authorised panel of valuers.

According to the published report, CA's valuers had provided a valuation that did not match the government's valuation.

The EACC also wants the minutes of the Special Board Audit and Risk Assurance Committee dated August 8, 2023, Mr Chiloba’s mortgage loan application form and all attachments including the title deed, search certificate, sale agreement, details of the vendor, valuation reports, all correspondence relating to the purchase and any other documents.

Mr Chiloba was suspended on September 19 for allegedly abusing the authority's mortgage scheme.

Mr Wambua was appointed to replace him in an acting capacity.

The conflict of interest stemmed from his application and approval of his own mortgage, which was inflated by almost two-thirds, and his acting as both buyer and seller in a transaction for which the authority paid Sh25 million.

A report of a ninth special meeting of the Board's Audit and Risk Assurance Committee (Barac) held on 8 August 2023 indicates that Chiloba, along with nine others, "fundamentally breached their obligations under the service contract".