August 23rd 2017

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Ruto firm cited in Migori County staffers' Sh7.9 million motor vehicle insurance scandal

The nine include the interim Chief Finance Officer Benard Olwenyo and the interim Head of Supply Chain Management Services Elekiah Odari, Tender Committee members Dan Othuondo, Alex Oyuga, Barnabas Agui, Collins Bala, Joshua Opondo, James Amenya and  Fransica Onyango.

By Samuel OwidaThursday, 30 Mar 2017 18:48 EAT

A case in which nine officials of the Migori County Government were arraigned in court for irregularly spending Sh7.9m entered full hearing today. The nine include the interim Chief Finance Officer Benard Olwenyo and the interim Head of Supply Chain Management Services Elekiah Odari, Tender Committee members Dan Othuondo, Alex Oyuga, Barnabas Agui, Collins Bala, Joshua Opondo, James Amenya and  Fransica Onyango.

The nine were arraigned before Homa Bay Senior Principal Magistrate Thomas Obuto where they were accused of awarding a Sh7.9m tender unprocedurally to the African Merchant Assurance Company (AMACO) Ltd without following the right procedure. The company is associated with deputy president William Ruto.

The tender was meant for motor vehicle insurance cover from the insurance company. The expenditure was in contravention of the Public Procurement and Disposal Act. In the second count, Mr Olwenyo and Mr Odari were accused of using their position of responsibilities to unlawfully fail in complying with the law relating to public procurement and disposal by authorizing procurement of the motor vehicle insurance.

In the third count, the committee members were also accused of violating the laws governing procurement by awarding an irregular tender to the insurance company. The accused denied the charges saying they never committed the crime. The court had earlier released them on a bond of Sh500,000 each.

Yesterday, the Ethics and Anti-Corruption Commission officer Peter Mwangi told the court that their investigations revealed that the nine spent the Sh7.9m irregularly. Mr Mwangi told the court that he believed the accused misappropriated the funds. “We scrutinized a number of documents on procurement and realized the money was irregularly spent,” he told the court in his accusation.

The writer is a contributing reporter for the Kenya Free Press based in Homa Bay County





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