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Wednesday, 24 July 2019

KENYA FINANCE MINISTER ARREST SHINES LIGHT ON INFRASTRUCTURE DEBT

Finance Minister Henry Rotich, in happier times, holds up a briefcase containing the Government Budget for the 2019/20 fiscal year in Nairobi, Kenya, June 13, 2019.
Kenya’s Finance minister and several top officials were arrested in Nairobi on Monday as investigations into two failed dam projects culminated in the most high-profile indictments in recent history.

The arrests also offered a window into the more problematic side of Kenya’s appetite for public debt.

Henry Rotich, the Cabinet Secretary for Treasury, and his Principal Secretary Kamau Thugge were both arrested, alongside over 20 other top government officers and directors of several companies.
  • They spent Monday night in custody, and were presented in court on Tuesday to face charges of corruption and conspiracy to defraud.
Director of Public Prosecutions Noordin Hajji said that the investigations “established that the conception, procurement and payment process for the Arror and Kimwarer Dam projects in Elgeyo Marakwet County were riddled with massive illegalities.”

“The investigations established that government officials flouted all procurement rules and abused their oath of office to ensure the scheme went through.” Hajji said in a statement. “This kind of crime and irresponsibility enslaves us with unnecessary debt and mortgages our future generations.”
  • Other officials who were also arrested include Titus Muriithi, the Inspector General of State Corporations, Geoffrey Mwangi Wahungu, the CEO of the National Environment Management Authority, and officials of the Kerio Valley Development Authority (KVDA), the government body that was in charge of the projects.
  • The former KVDA Managing Director, David Kimosop, who was fired in May but has been fighting to keep his job, was also arrested.

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