Category: News

The Parliament  has this afternoon approved an amendment to Clause18 of the Finance Bill, 2018, sponsored by Minority Whip Junet Mohamed  ,suspending the implementation of 16% VAT on fuel,which was to take effect on 1st Sept.2018, for a period of 2 years, citing the high cost of living.

The amendment brought on the finance bill by minority whip Junet Mohammed means that the levy will take effect on September 1, 2020.

The House has further rejected a proposal contained in the Finance Bill, 2018, and adopted by the Committee on Finance & National Planning,  seeking the reduction of Gaming Tax from 35% of revenue to 15%. The Gaming tax on revenue remains at 35%.

ODM’s Sec Gen Edwin Sifuna has issued a statement on behalf of the party in reaction to the arrest of DCJ Philomena Mwilu who was today arrested and released after being charged with corruption issues.

Mwilu who was presented by senior counsel Orengo alongside other senior lawyers like Nelson Havi was set free on a personal bond by Kilimani Court after being processed at DCI HQ in what is seen as one of the highest profile cases in the land. The arrest has however drawn different reactions and many of DPP admirers, seem to have a frown on.

Below is the statement from the party;

The Orange Democratic Movement (ODM) was founded on the recognition of individual freedoms, social justice and the rule of law. We honor fallen heroes who fought for the liberation of this country, and we seek to defend the supremacy of the Constitution of the Republic of Kenya.

Our attention has been drawn to the arrest, and subsequent arraignment in court, of the Deputy Chief Justice Hon. Philomena Mwilu.

We applaud the government for its newfound dedication to the fight against corruption in all forms, and we reiterate the Party’s commitment towards this front.

We, however, are constrained to point out from the onset that this fight will only succeed if anchored totally on the rule of law, adherence to the letter and spirit of the Constitution, and grounded on basic human dignity.

Article 157 (11) of the Constitution requires the Director Public Prosecutions to carry out his duties in a manner that holds high regard for public interest, the interest of the administration of justice, while guarding against the abuse of the legal process. This provision enjoins the DPP to satisfy himself as to the propriety of bringing charges in any case and not to be but a conveyor belt for everything that is placed in his hands.

In the matter of the DCJ Justice Mwilu, it is difficult not to be concerned about whether the DPP applied his mind to the requirements of Artucle 157(11) especially in light of Kenya’s recent History.

It is to be remembered that at the height of the fight for electoral justice the Judiciary came under sharp criticism with the Jubilee side promising to “revisit” what they called “problems” within the Judiciary following the annulment of the Presidential vote by the Supreme Court.

We want to give the DPP the benefit of doubt but the signs are troubling. The office of DCJ is a high level constitutional office and like other Judicial offices has an elaborate mechanism for enforcing discipline. Indeed cases of alleged criminal conduct involving judicial officers have in the past been processed through the JSC in the first instance. This was the case with the allegations of bribery against Justice Tunoi and alleged assault against former DCJ Nancy Baraza. The reasoning is simple really, to save the image of the institution by first cutting links with the accused person before taking them through the criminal trial process. One wonders why was this was not an option in the present case.

We have taken note of the spirited will with which the new Director of Public Prosecutions Noordin Haji has taken to his job. We commend him for his energy and dedication, we support him in whichever way he may need our help.

However, the Party wishes to remind him not to open his office to manipulation especially by state and non-state actors. This is especially so when the charges he brings appear openly frivolous, lacking in substance, and reeking of political witch-hunt.

The long winding statement he gave justifying his action against the DCJ did not inspire much confidence. He must now speedily conclude this prosecution remembering always that Kenyans shall not forgive him should this turn out to be a politically instigated witch hunt.

Edwin Sifuna

Secretary General, ODM

28/08/2018

What are your thoughts on the arrest of DCJ Mwilu? Drop us a comment.

Ladies and Gentlemen,
Over the last few months there has been concerted efforts to fight corruption and economic crimes in the country that seriously deny the provision of basic necessities to the citizenry and affect development.

The fight has seen several high ranking officials and entities charged with various offences including asset forfeiture and confiscation. In this regard the DCI forwarded to me an investigation file relating to the Deputy CJ which I have perused and given directions.

This afternoon, I informed Chief Justice David Maraga of my decision to grant consent for the arrest and prosecution of the Deputy Chief Justice, Lady Justice, Philomena Mbete Mwilu, on criminal charges.

This decision has not been taken lightly, but it is the right decision under the law. Most of us in the office of the Public Prosecutor are indeed officers of the court and the dignity and independence of the Judiciary is dear to us. I believe that judges in a democracy such as ours must be totally free to exercise their judgment in a societal environment that supports and protects them. Indeed, the precepts and principles of the constitution must be our guide at all times.

But the justice system only works if lawyers, prosecutors, magistrates and judges are fair and just. There can be no justice if lawyers, prosecutors, magistrates, judges and investigators (who are court officials) use their position to enrich themselves at the expense of the Kenyan people.

I believe that the majority of court officials are honest, hardworking Kenyans who have offered their time and talents in the service of their country.
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The evidence in our possession, reveals that:-
1. Lady Justice Mwilu abused her office for personal gain.

2. Accepted a gift in the form of money in circumstances which undermined public confidence in the integrity of her office.

3. Obtaining execution of a security belonging to Imperial Bank Limited now in receivership by false pretense.

4. Unlawful failure to pay taxes.

5. Conducted herself in disregard of the law.

6. In view of the above, I have concluded that the evidence is sufficient with a reasonable prospect of conviction and it is in the public interest that criminal proceedings should be preferred.

Investigating and punishing wrongdoing is difficult and painful, but it has to be done. Adherence to the rule of law binds and strengthens us as a Nation. Our country is being torn apart by people who have been placed in positions of trust and who in turn abuse this trust.

At times Kenyans have failed to get justice because their lawyer is dishonest or the judge is unfair. Those in positions of service must not only submit to the constitutional precepts of integrity, they must exercise wisdom, demonstrate good judgement and lead by the power of their example.

Law enforcement decisions must be untainted by partisanship and under my stewardship the Office of the Director of Public Prosecutions will adhere fully to the constitution and not the fleeting interests of anyone. The checks and balances in our constitution are meant to establish a healthy tension among the branches of government as each ensures none oversteps its boundaries while keeping within the dictates of our constitution.

In keeping with our constitutional mandate the ODPP must and will wage an aggressive effort against all forms of corruption. We have a duty to protect the health of our Kenyan people by ensuring that products offered for sale are properly and accurately tested to confirm that they are of good quality and safe to use. We will reinvigorate the efforts to protect the public in areas such as food and consumer product safety.

Our manufacturing companies must be protected from smugglers of fakes and merchants of cheap counterfeits.

All of us must pay taxes so that the government can have the revenue to provide Kenyans with services and to support devolution. Once those taxes are paid, they have to be used only for the intended purposes and not misappropriated by a few people. Taxpayers indeed the Kenyan people have a right to demand accountability.

Over the years, a system of chaos has taken root in our country. Millions of young people are unemployed partly because factories are collapsing or stagnant, stifled by a hostile business environment created by corruption. And when the government puts some money in the National Youth

Service to help these young people and give them hope in life, itmust NOT be misappropriated.
Families as well as businesses are suffering because of the high cost of energy. The country has spent billions of shilling taking power to the people. But if the current levels of corruption continue, Kenyans will not be able to afford energy and our industries cannot compete in the region.

The government is increasingly finding it difficult to implement infrastructure projects for the benefit of Kenyans. The cost of land, driven up by speculators with the help of a few officials at the National Land Commission, has become a heavy stone around the necks of Wananchi.

The message that the President, the Chief Justice and other Leaders have been sending is that this chaotic system needs to come to an end for the sake of our people. We as prosecutors are doing our best to support that vision and will reinvigorate the constitutional missions of the Office of the Director of Public Prosecutions. We have embraced our role in prosecuting crime, in turn protecting Kenyan’s civil liberties, preserving our environment and ensuring fairness and accountability in the economy.

Our resources are limited. We cannot be everywhere at the same time. For now, we are prioritizing and being strategic in our actions so as to achieve the maximum possible impact in the shortest period. In the fullness of time, wherever there are law breakers, we will be there to take them to court and ensure that they are punished.

We have offices in the 47 counties and in most of them we have cases in court which are progressing well. In Nairobi, the NYS cases will come up for hearing between October and December. Two of the Kenya Power cases will be heard in October. The Kebs, NCPB and National Land Commission cases are in the pre-trial stage.

I am satisfied with the progress we are making on this front and I am happy with the cooperation and teamwork we have established with the Judiciary and the investigators.

Many other cases are under investigation, many more are being assessed by my office and Kenyans should expect fresh investigations and prosecutions on a regular basis.
Thank you

(Reuters) – South Sudanese rebel leader Riek Machar refused to sign the latest draft of a peace deal with the Juba government that would end a years-long conflict, Sudan’s foreign minister said on Tuesday.

Machar’s rebels and South Sudanese President Salva Kiir signed up to a ceasefire and power-sharing agreement last month, one of a series of apparent breakthroughs in recent months.

Machar’s refusal to sign the latest draft, however, is a sign of how difficult it will be to implement a full agreement. Previous peace deals have held for only a matter of months before fighting resumed.

“The main opposition party, led by Machar, as well as another group, refused to sign, demanding guarantees over their reservations” about the deal, Sudan’s Foreign Minister Al-Dirdiri Mohamed told reporters in Khartoum.

Sudan has helped to broker talks this year between various South Sudanese rebel groups and Kiir.

South Sudan’s civil war erupted in 2013, less than two years after it had gained independence from Sudan. The war has uprooted a quarter of South Sudan’s population of 12 million, ruined the country’s agriculture and battered its economy.

The warring sides in June signed an initial agreement to end the fighting, but Machar rejected some proposals such as having three different capitals in South Sudan to distribute power.

Kiir has blamed the collapse of previous peace agreements on foreign influence.

President Uhuru Kenyatta on Monday met US President Donald Trump at the White House in Washington DC and invited the US to increase its trade and investments in Africa. President Kenyatta’s visit becomes the second of African Presidents to meet Trump at the White House after Nigeria’s Buhari.

The Financial Times reported that Trump called President Buhari the most lifeless person he ever met after their meeting earlier this year. He said he would never want to meet such a lifeless person. Many had hoped that his meeting with the more urbane and youthful Uhuru Kenyatta would redeem our image & enhance US-Africa ties and to some levels it did.

Donald Trump’s powerful handshake has become a hallmark of his meetings with other world leaders, fascinating armchair psychologists who see his vigorous technique as a tactic to assert authority.

The meeting between French President Emmanuel Macron and Donald Trump saw the pair grip each other’s hand so firmly that their knuckles turned white.

Emmanuel Macron studied videos of Donald Trump shaking people’s hands to get ready for their first encounter, where the French president came off the stronger after a white-knuckle contest between the two leaders.

Macron looked up footage of Trump’s erratic handshake technique, where he yanks the whole arm of the other person towards him in an apparent act of dominance.

When Macron’s turn came, however, he was ready. The encounter was at a NATO summit last May, and Macron seemed to come off stronger in a battle of wills with Trump.

When President Kenyatta walked into the White House, he knew what he was walking into and his handlers must have obviously studied Trump’s push-pull handshake and prepared him to counter. At first Uhuru is seen to be under control but Trump has been in the game for too long as President Kenyatta is seen at some point to be overwhelmed, subdued and the muscles on his face screaming ‘Sawa boss nimekubali’.

The two leaders’ handshake is the latest in a long line of awkward greetings involving Mr Trump, although it is usually the US president who is the aggressor.

Speaking during a bilateral meeting held at the Cabinet Office in the White House, President Kenyatta and President Trump also agreed to bolster the Kenya-US partnership in peace and security especially in the Horn of Africa region. “We’ve had strong relations that stretch back – all the way back to our own independence. And we are here to cement that partnership. We are here to strengthen the support we have received as a country, especially with regards to our security and defense cooperation,” President Kenyatta said.

President Trump said Kenya and the US will continue to work together to grow their partnership in trade, investments and security. “We do a lot of trade. And we do a lot of defense and security. And we’re working very much on security right now. And I appreciate you very much being with us and your staff. This is really great,” President Trump said.

The two leaders also discussed the direct flights from Nairobi to New York by Kenya Airways that are set to commence in October and agreed that they will boost tourism and trade for the mutual benefit of the two countries. They cited the African Growth and Opportunity Act (AGOA) as one of the main areas that is set to benefit from the direct flights from Nairobi.

Earlier, President Kenyatta and First Lady Margaret Kenyatta were formally received by their hosts President Trump and First Lady Melania Trump when they arrived at the White House at 2.00pm Washington DC time (9.00pm, Nairobi time on Monday).

After the official welcome formalities, President Trump ushered President Kenyatta into the Oval Office for one-on-one talks before joining their respective delegations for the bilateral talks in the Cabinet Room. Similarly, First Ladies Melania Trump and Margaret Kenyatta held separate private talks in the Diplomatic Reception Room in the West Wing of the White House.

President Kenyatta’s historic visit to the White House makes him the third African leader to hold direct talks with President Trump, the only other two leaders having been Egypt’s President Abdel Fatah al-Sissi in April 2017 and Nigeria’s President Muhammadu Buhari in April this year.

Before the White House visit, President Kenyatta earlier met and addressed members of the US Business Council for International Understanding (BCIU) and encouraged them to take advantage of the opportunities created by his Big Four development blueprint by investing more in Kenya.

The historic direct talks between President Kenyatta and President Trump are a major boost to President Kenyatta’s Big Four development agenda as well as the renewed war against corruption and economic crimes in the country.

WASHINGTON DC, 27 August 2018 (PSCU) – President Uhuru Kenyatta today witnessed the signing of two agreements that will see two US companies invest $238 million worth of projects in Kenya as he urged the US government to facilitate the operations of US businesses Africa. Taking cue from President Kenyatta’s call, the US Overseas Private Investment Corporation  (OPIC) and Kipeto Wind Energy Company signed documents to close a $232 million deal in financing for the construction and operation of a 100-megawatt grid-connected wind power plant south of Nairobi.

The plant will provide a more reliable source of energy to the national grid and support the US Power Africa Initiative to double the number of people in Sub-Saharan Africa with access to electric power.

The second agreement signed in the presence of President Kenyatta when he met business executives of leading US companies meeting under the umbrella of the Business Council for International Understanding (BCIU), was a $ 5 million letter of commitment in financing to expand the distribution network of Twiga Foods and improve food security and agricultural wages in Kenya.

The agreement was signed between Twiga Foods and OPIC, a US government agency. Dr. Kenneth Namunje and Mr. Grant Brooke signed for Kipeto Energy and Twiga Foods respectively while Hon. Ray Washburne, the President and Chief Executive of OPIC signed on behalf of his organization.

Addressing the US business executives, President Kenyatta assured them of his administration’s commitment to remove any hurdle that could impede their operations in Kenya. “Kenya is open for business and all we want to do is package our partnership in a way that it is mutually beneficial to you as a private sector and the people of Kenya,” President Kenyatta said. President Kenyatta invited more US investors to set shop in Kenya to benefit from the opportunities created by the Big Four development blueprint projects.

He said the Big Four agenda projects – pegged on boosting manufacturing to create jobs, food security, provision of affordable housing and universal healthcare coverage – present major opportunities for local and foreign investors. The BCIU is a US-based organization comprising of 200 member companies. It helps its members to engage internationally by facilitating mutually beneficial relationships between business and government leaders worldwide.

In manufacturing, President Kenyatta said Kenya looks to increase the sector’s contribution from 8.4 to 15 per cent by 2022. “This presents major opportunities for local and foreign investors in areas such as agro-processing, textiles and leather, the maritime sector, construction, iron and steel, and oil and gas,” the Head of State informed the meeting that was attended by US Commerce Secretary Wilbur Ross and over 20 top executives of leading American companies.

On food security, the President welcomed the proposed investment of $5 million by Twiga foods in the agricultural sector, saying more such investments were needed.

On provision of Universal Healthcare Coverage (UHC), President Kenyatta said his government looks to roll out innovative health insurance options, set up local pharmaceutical companies, upgrade and manage healthcare facilities and set up specialized treatment centres. “Given our long and well-established relationship, we can do more together and I invite the US companies to walk with us on the ‘Big Four’ journey,” President Kenyatta informed the US business community. He added: “With so many opportunities open to us and given our long and well-established relationship, the time is ripe to make a change in our business engagement.”

The Monday meeting was the third the President was having with members of the BCIU, the last one having been held in 2015. President Kenyatta said his administration has continued to improve the business environment with a view of providing a facilitative environment for private sector growth. “Between 2014 and 2018, Kenya improved its ranking on World Bank Ease of Doing Business Index (DBI) by 56 positions from 136 to 80 and remains on target to get to the top 50 by 2020,” the President said.

The Head of State pointed out that the economy remained buoyant and resilient, registering a 5.5 per cent average growth rate over the last 5 years in spite of a historic presidential election and weathering a major drought in 2017. US Commerce Secretary Ross and BCIU CEO Peter Tichansky, commended President Kenyatta for creating a conducive environment for the private sector to thrive in Kenya.

The US business executives expressed their appetite to increase investments in Kenya following the assurances  by President Kenyatta. Cabinet Secretaries Monica Juma (Foreign Affairs) and Henry Rotich (National Treasury) were among the Kenyan delegation at the business meeting.

A video has emerged online of a lady identified as Cynthia Keru smashing the windscreen and vandalizing the car belonging to her boyfriend. The scorned lady apparently suspected the boyfriend of cheating on her, a claim that those in the know say is untrue as the fella is completely mesmerized and smitten to cheat.

Such an act is criminal, causing a damage in this scale to someone’s property shouldn’t be tolerated for whatsoever reasons. This lady need to be arrested and charged for destruction of property. There should be no liniency. If you think your partner is cheating or rather found out, walk away, simple.

The lady is seemingly drunk and is being cheered on by another man filming the criminal act. These two must be arrested and serve as example to the rest of lovers who can’t cubtril themselves and think causing destructions will be the sweetest revenge, idiotic to be fair.

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The incident reportedly happened in Mombasa.

Open Letter To Resigned & Unresigned IEBC Commissioners Connie Maina & Margaret Mwachanya:

Five months ago, you jointly resigned citing inter alia that you can’t work under IEBC Chairman Wanyonyi Chebukati. Your purported decision to unresign is Unconstitutional, Illegal, Unlawful, Corrupt and Criminal. Let me try to break it down for you:

1. The purported case you are relying on is Nairobi Hc Petition No. 212 Of 2018, Isaiah Biwott Kangwony versus IEBC …. You are not Parties to it. A Court Clerk will advise you that Court Orders are only enjoyed by the Parties in Court. Strangers don’t. How you are climbing onto a case that is not yours is stupidity of the highest order.

2. In any event, the above case didn’t say you return to work. Mr. Kangwony had sought orders that IEBC be disbanded because of lack of quorum. The Petition was dismissed in entirety. The Court Decree extracted that is enforceable will read: “Petition Dismissed”. So, what Orders will you enforce?

3. Further, within the judgment, the Judge in what in law is called Obiter Dicta said that your resignation was unprocedural … He didn’t say it be undone …. My BFF Gor Semelang’o likes using the word “ex tempore” which means the same as Obiter Dicta … words that are not on Record or words that are not enforceable …. Words that are made by the way and with no substratum.

4. The Constitution and established law sets out how one can be removed from office. But personal resignation is not legislated anywhere. All human beings from Azerbaijan to Zimbabwe irrespective of legal systems are free to resign from office. There is no formula or method of resigning. You are free to resign orally or in writing, privately or in public, in a press conference or at a funeral service. Your resignation was in Order and Good.

5. IEBC Commissioner is a full time job. Established employment law is clear that where one absents themselves from duty for even few days, it is gross misconduct fit for Summary Dismissal. You absented yourself for over FIVE MONTHS!!!! It is not even gross misconduct.

6. Your action violates Chapter 6 Of The Constitution and The Leadership & Integrity Act, No. 19 Of 2012. You broke every Article and Provision of the Integrity Law.

7. Your actions to walk away from public office and wanting to come back is criminal and corruption. For sure know that if DPP Noordin Haji doesn’t arrest and arraign you in Court tomorrow , it doesn’t mean you will get away. There is no time limitation on crime. One day, you will be arrested and charged. SAVE THIS POST for sure the time will come.

Finally, John McCain died today. McCain exemplified everything that is required from a patriot. Love of Country above self. Love of country above politics. But the two of you are the poster children of all that is wrong. You represent the worst in us. You love self above all. We are yet to give decent burial to those that died because you mishandled the elections. The handshake between the President and the Prime Minister is still going through its motions.

I know your selfishness is overwhelming. Jezebel maybe your role model, but spare us your catwalk drama and leave us alone. Be gone. You are shameless and amoral.

PS. If you received legal advise to return to work, you have a duty to disclose the names of those lawyers, because they are not worthy the be in the Roll of Advocates.

Donald

Mr. William Hanga Mwazombo an employee of Well’s Fargo Security firm was arrested yesterday & is currently in lawful custody for posting defamatory children photographs on the media.

The culprit has been  pseudonyms on Facebook as Sam Dali which he later changed to Bakibaki Hanga when things started heating up before he eventually deactivated his Facebook page.

Feeling secured under his pseudo, Hanga posted on notorious page Kilimani mums on how he defiled a minor and even threatened to defile yet another while bragging and dating the group members to do anything as he’s untraceable, so he thought.

A social media campaign to get him was launched by members of the public and with no time, ODPP picked up the case instructing the DCI to launch investigations and apprehend him.

So dumb was this guy that he had his photos on his profile full with his employer and thought just by using a fake name he would be untraceable? This amount of stupidity should be a separate charge.

This case calls for the regulations of posts by the admins of such pages, Kilimani Mul’s is notorious for approving scandalous stories that shouldn’t hit the public. How do you approve such a peadophilic post. This therefore calls for strict regulation on the posting by admins lest they be held criminally responsible for such.

President Uhuru Kenyatta today said his famous handshake with former Premier Raila Odinga on the steps of Harambee House has a deeper understanding than some politicians think. The President said the process leading to the meeting with the opposition leader was carefully thought out and fashioned with the ultimate aim of building a stronger, united and cohesive nation.

“There is a much deeper understanding between myself and Raila Odinga; an understanding that is driven by the desire to ensure that we leave this country much stronger, more united and more focused than it has ever been,” said President Kenyatta. He spoke during the 40^th anniversary memorial service in remembrance of the founding father of the nation, Mzee Jomo Kenyatta held at the Holy Family Minor Basilica, Nairobi.

Before the memorial service , the President led family members that included Mama Ngina Kenyatta and First Lady Margaret Kenyatta in laying wreaths at the mausoleum of the former Head of State  at parliament grounds. President Kenyatta said that the building bridges initiative is in keeping with the spirit of the nation’s founding fathers who held dreams of a united Kenya.

The Head of State said a time comes when leaders must let go of petty politics and come together for the fundamental issues that make Kenya a celebrated nation and in the process fostering national unity and progress. President Kenyatta cautioned some politicians to stop misinterpreting the handshake and its intentions but rather focus on its bigger agenda.

He said the bigger agenda of the handshake will allow Kenyans to work together and compete without considerations of tribe or religion. “What we are aiming at, is that politics will never again drive our country to bloodshed, destruction of property and animosity,” said President Kenyatta adding that in future a Kenyan should be able to seek elective office in any part of the country. On corruption, President Kenyatta called on all Kenyans to come together and hold hands against the vice.

The Head of State said Kenyans cannot access adequate healthcare and education if they do not completely eliminate graft. “We must work together and eliminate corruption so that our people can get the services that are due to them as citizens of this republic,” added President Kenyatta. The President said the founding father of the nation had made many achievements to consolidate the young nation but also faced challenges that confront all human beings.

“We are not here to glorify the man. He was human, and being human, there were great things he managed to achieve for this country and there were also issues that he was confronted with just like all of us,” said President Kenyatta. He said there is need for Kenyans to learn from the mistakes of their forefathers, in their efforts to achieve the dreams enshrined in the national anthem about the unity of the nation, peace within its borders and harmony among its people.

President Kenyatta added that history can only remain relevant if it teaches people about the mistakes of the past and how to confront them adding that history gives a nation its soul. President Kenyatta said the country is yet to completely subdue the same challenges that faced our forefathers including education, health and alleviating poverty.

Deputy President William Ruto described Mzee Kenyatta as the epitome of hardwork, enterprise and wealth creation. “He consolidated the country into a nation. He left a legacy of hardwork, enterprise and wealth creation,” said the DP. The memorial service-cum eucharistic celebration has been observed every year by sitting Presidents since Mzee Kenyatta’s death. Earlier at State House, Nairobi, President Kenyatta hosted members of the former Presidential Press Service led by former long-serving PPS head Lee Njiru. Mr Njiru was accompanied by  Samuel Karoki, Kibote Kimemia, Robert Ngatia, Hosea Njuguna, Irene Waruguru, John Omenda, Moses Sakwa and Immanuel Okoth, all of whom were on duty in Mombasa when Mzee Kenyatta passed on.

In the last few hours a lot has happened from  IPSOS releasing their polls to the Star pulling down a story they did on the pollster ranking the deputy president as the most corrupt politician alive in Kenya standing at 33%.

It remains unclear as to why the newspaper was forced to pull down the story in what is seen as an order from above. It is however this unusual move that has made the poll to go viral on Kenyans social media pages with many sharing the screenshots of the said poll.

Kirinyaga Governor Anne Waiguru who was also named in the poll alongside the DP on the poll, says she will sue research firm IPSOS Synovate for releasing a survey report indicating that Kenyans perceive her as the second most corrupt in Kenya.

Waiguru has been walking around with the shadows of NYS I theft which despite exonerations by EACC, has refused to go away and keeps haunting her. Many still perceive her as a face of corruption.

Waiguru also took to court Nyali MP Mohammed Ali for linking her to the recent NYS II theft owing to her relationship with PS Omollo who was at the center of the heist. The Governor was supposedly living at a home belonging to the PS in Kirinyaga which was read as a close relationship.

International Association of Athletics Federations (IAAF) recently handed Kenya the rights to host the 2020 IAAF World Athletics Under-20 Championships, the good news has been met with a rather usual but unfortunate one. Half of the money (Sh1.7 billion out of an allocation of Sh3.5 billion) the government pumped into the IAAF Under-18 World Youth Championships in Nairobi last year was stolen in yet another plunder of public funds.

The July 10 report of the Auditor-General, tabled in the National Assembly by Leader of Majority Leader Aden Duale, shows that the State Department for Sports and Development was allocated Sh1.7 billion, Sports Kenya Sh1.1 billion and Kenyatta University Sh689.6 million in preparation for the championship.

The rampant theft of public funds is nothing new and just like in the NYS case, companies in the ministry supplied air, bloated bills, single sourcing.

About Sh66 million was controversially set aside for the procurement of taxi services, and Pewin Cabs Ltd owned by Justus Muriithi was paid Sh23.8 million above the market rate, the report says. This company was also given a dry cleaning and laundry services contract valued at Sh30.8 million.

Which then brings to the question as to why young entrepreneurs can’t engage in genuine business. This rush for quick money is not only crippling the economy but also ruining lives. Look at it this way, the Sh24m above market rates that was paid to Pewin cabs, could’ve been alternatively used to cover the welfare of athletes and other suppliers who’ve missed on payments. The greed for power and money is the reason many Kenyans languish in poverty as few flourish in bloody wealth.

Protel Studio was paid Sh67.5 million for the procurement of media agency services and Sh70.5 million to Inter Management Group for marketing of the games. These contracts were subtle sourced and not even evaluation reports has been filed to proof their work.

If nothing is done to stop public theft then we will continue receiving news of stolen money and move on. If the DPP can tighten the noose enough to ban and jail dishonest businessmen like Justus Muriithi in this instance then Kenya will continue to count losses. The time for court appearances and bail approvals should cease.

Like in the NYS cases, this theft of Sh1.7 billion, must be taken seriously and we’re looking forward to see arrests and prosecutions and more importantly, recovering the stolen wealth.

Robert Kyagulanyi Ssentamu, an opposition Member of Parliament of Kyadondo East constituency in Uganda who is most widely known as the pop musician “Bobi Wine,” has retained the international law firm Amsterdam & Partners LLP following his violent arrest on August 14, 2018 while campaigning in the North Western town of Arua following clashes with ruling party cadres.

“Mr. Kyagulanyi’s arrest was not only a politically motivated act of repression, but furthermore he has since been subjected to inhuman and horrific acts of torture by the Ugandan security services from which it is possible he may never recover,” said Robert Amsterdam, founding partner of Amsterdam & Partners LLP. “This outrageous and reprehensible act of state aggression – an episode not seen since the days of Idi Amin – requires a robust and broad response from the international community to secure his safety and to bring his torturers to account.”

Kyagulanyi’s arrest along with 34 other people took place around the same time that President Yoweri Museveni was campaigning in the same area of Arua, allegedly after protesters had thrown rocks at the president’s car. Appearing in a military court on August 16, Kyagulanyi was charged with illegal possession of firearms and ammunition, even though he was originally arrested on the basis of obstructing a presidential motorcade. A night before he was arrested, his driver was shot dead by soldiers or presidential guards. The driver at the time was seated in the same seat where Bobi Wine normally sits.

According to dozens of local and international media reports, his court appearance featured unmistakable signs of torture. Badly bruised and disoriented, Mr. Kyagulanyi was unable to walk, unable to speak, and unable to acknowledge the charges filed against him.

“The situation for Mr. Kyagulanyi is profoundly grave, immediate, and deserving of urgent action and intervention,” said Amsterdam. “When a state behaves with this level of impunity and violence, there are few statements or resolutions that will stop them from the murder of an innocent opponent like Bobi Wine. That’s why we need to hit these officials in their wallets with a Magnitsky-style sanctions schedule as they need to understand the consequences of this attack on human rights.”

Amsterdam’s referral to the Global Magnitsky Act, which was passed by the US Congress with broad bipartisan support in 2016 in honor of the murdered Russian whistleblower-lawyer Sergei Magnitsky, empowers the executive branch to impose visa bans and targeted sanctions on individuals anywhere in the world responsible for committing human rights violations or acts of significant corruption.

More information about Mr. Amsterdam and the law firm is available at amsterdamandpartners.com.

Below is the content of the letter Swazuri sent to the Head of Public Service, Joseph Kinyua highlighting his plights on INFRINGEMENT OF FUNDAMENTAL AND CONSTITUTIONAL RIGHTS DURING ARREST BY EACC OFFICERS AND SUBSEQUENT BREACH OF CONSTITUTIONAL PROVISIONS ON THE PURPORTED APPOINTMENT OF ACTING CHAIRPERSON – NATIONAL LAND COMMISSION

I wish to refer to the above subject matter and respectfully address you as hereunder.
As you are now well aware, I am the subject of charges presently in court in respect to compensations the National Land Commission approved in respect to the SGR project. I am looking forward to having my day in court and vindicating my name and that of the office I hold and respect when we face our accusers.

However, in the meantime, I wish to bring to the attention of your office certain egregious infringements of my human rights and dignity as a senior public official and a citizen of this country.

1. My house was raided and I was arrested at 5:05 am on Saturday 11t​ h August 2018. The arresting officer, a certain Abdi or Hassan told me there an then that I was under arrest and would be arraigned in court on Monday 13t​h August 2018. This statement betrays the existence of prior instructions to detain in custody me until appearance in court.

2. Indeed, I asked to be shown the warrant they were acting on but the more than 21 officers who came to arrest me blatantly refused.

3. I also asked for the reason(s) for my arrest but I was not informed of any but the officers insisted I was under arrest and I was whisked away in a convoy of cars. The charges against me were only revealed to me at 5pm on Saturday, almost ten hours after arrest. Article 49 (1) (a) provides that an arrested person ought to be pr​ omptly informed in a language that they understand of the reason of their arrest.

4. It is noteworthy that the first thing the arresting officer did when they entered my home was to confiscate my mobile phones and those of my wife also. As a result, I could not seek help from anybody including my lawyers. The phones were later returned to me at 8pm on that fateful Saturday.
​Date​: 14t​ h​ August 2018

5. At the EACC integrity centre police station my advocates requested on several occasions for me to be released on favourable bond terms. The officers categorically refused and said that they had strict instructions “from above” to detain me for the weekend. It is informative that other suspects were successfully released on bond after arrest that same morning.

6. Once I together with six others including Mr. Atanas Maina, the Managing Director of Kenya Railways were in the cells that the EACC announced that the remaining suspects could report to EACC offices on Monday morning, which they all did. They were promptly processed and we managed to go to court together. This begs the question, what was the point of detaining me for 50 hours from Saturday?

7. The actions detailed in the paragraphs above are in my view illegal, malicious and a violation of my fundamental rights as expressly provided in Article 49 of the Constitution of Kenya.

8. It is noteworthy that my arrest and subsequent charge in court came against the backdrop of at least two incidences:

a. Sometime in 2017 before the alleged fraudulent payment for compulsory acquisition was made by the Commission for the subject parcels in Embakasi i.e. LR No. 9084, 9085, 9086, 9087 and 9088 the EACC had written to us to pay for a certain number of parcels allegedly belonging to Halake Waqo the CEO of EACC together with four other EACC officers. Upon verification of the titles we found them to be forgeries and hence rejected payment to the named owners. We upheld payment to the properties the subject of the current charges yet these two sets o properties were next to each other. That is when the witch hunt started by Mr. Waqo.
b. Sometime in September 2013, the management of Nakuru Boys High School complained to us that 3.65 acres of their land had been grabbed. On this grabbed land, the grabbers had leased the land to three petrol dealers, Shell, Total and National Oil.

Due to lack of documents, NLC was unable to prosecute the grabbing until last week when we obtained the necessary documentation. That information indicated that one of the school land grabbers is Hon. Mohammed Yusuf Haji, Senator for Garissa and father to Mr. Noordin Haji, the new Director of Public Prosecution.

c. On Friday 10t​ h August 2018, I travelled to Nakuru and visited both the grabbed school land and a certain parcel at Shabab Dispensary opposite Mama Ngina Primary School. As the law provides I promised to revoke these parcels in order to recover them for public interest. That same evening, Mr. Noordin Haji gave orders for my immediate arrest that led to EACC officers to arrest me in the early hours of Saturday morning.

9. Both acts go against Article 250 (9) of the Constitution of Kenya which provides that public officers cannot be paralyzed or punished in the course of their work if their actions are done in good faith.

10. To support the above assertions, I have looked at the charges and I note that the charges against me have been broken down to several counts to make them appear more onerous than the rest of the accused persons and yet the charges are exactly similar in nature and content. This is a blatant attempt by the EACC and the ODPP to sensationally make the charge sheet appear as if I was the key mastermind in this alleged crime with most charges being levelled against me. Consequently, the Magistrate preferred higher bond terms against me than my other co-accused for this specific reason.

Further, I have been essentially been removed from office by order of the court as I need to make prior arrangements with the “the new management” if I am to access my office.

11. Sir you must also be aware of the activities happening at the NLC as from Tuesday 14t​h August 2018, a day after my release on bail. The magistrate ordered that I should not go to my office unless accompanied by a police officer and after consulting with the “new management”. That order has apparently been translated by the Vice Chairperson to mean I have been suspended or interdicted. She has subsequently done the following:

a. Convened a Commission meeting attended by only 3 commissioners where they ostensibly replaced the CEO, Director of Valuation and Director of Finance.

b. Issued a press release on Wednesday 15t​ h August 2018 where the Vice Chair stated ​“…that the Commission is fully constituted with the Vice Chair, Abigael Mbagaya Mukolwe performing the duties of the office of the chairperson as has always been the case when the incumbent is out of office.” No provision in the Constitution and the NLC Act makes provision for such an eventuality.

c. On 16t​ h August 2018 the Vice Chair issued an internal memo which resolved that ​“…in the time being, the vice chair, Abigail Mbagaya Mukolwe, will perform the functions of the Chair as she would ordinarily perform in the absence of the Chairman.”

12. Article 250 and 251 is clear on the process of appointment and removal/vacancy of the office of Chairperson. Section 10, 11 and the First Schedule of the National Land Commission Act also make explicit provisions in respect to this procedure. The fact that the person reportedly taking over as Chairperson of the NLC not only orchestrated my arrest but we have evidence of her corrupt acts as Vice Chair make it untenable to allow this state of affairs to continue.

All these are clear indications that the main aim of the pending court case was to replace me through the backdoor outside constitutional and statutory provisions. We are also alive to the fact that all the machinations on this matter were perpetrated by one of the commissioners who has persistently been pursuing a negative agenda against the Commission and myself.

All the above activities coupled with a sustained media campaign are meant to intimidate myself and the work of the Commission with the overall aim of derailing government projects that involved compulsory acquisition. From the time these investigations started in January 2018, Commissioners and Officers are scared of committing themselves to any work involving compulsory acquisition.

I have single handedly tried to implement compulsory acquisitions works and that is why I am being accused of being a lone ranger. Government projects must go on irrespective of fear and threats. The Land Acquisition Committee has only met twice since January 2018 to approve acquisitions for more than 24 government projects and even that was after my instigation. The country stands to lose billions of shillings from stalled projects such as SGR, Karimenu Dam, Mwache Dam, Lower Nzoia Dam and several projects linked to the ‘Big Four Agenda’.

From all the foregoing my fervent request is that you urgently intervene in this matter in seeking answers to the reasons for the infringement of my constitutional rights by the EACC officers as well as assist in addressing the issue of my ostensible removal from office. Your assistance will be highly esteemed.

Yours Faithfully,
Prof. Mohammed A. Swazuri, PhD, OGW Chairman
National Land Commission &
Associate Professor in Land Economics

The vocal Kenyans on Twitter are never shy to put out their stand in clear prints. While the army is currently on Museveni’s case for the brutality meted on his opponent Bobi Wine whose star is fast rising and causing him jitters, guns have also been turned in Julie Gichuru who like many Kenyans, added her voice to the case at hand.

However, Julie’s comment elicited harsh criticism from a section of users who in their majority considered her condemnation of Museveni as a double speak. Gichuru is in record having endorsed the presidency of Uhuru during the campaigns and was fiercely criticized over her peace calls during the pre election period.

Many at that time criticized her stand on elections by overlooking the electoral injustices instead concentrating on peace which manyread as a muzzle on voices pointing out electoral injustices.

In our new Africa,
There is no room for brutality, we cherish each other.
Let us debate disagreements, not crush opponents.
In our new Africa,
Our young people control our future; they are Africa.
Ignore or abuse them at your peril.#FreeBobiWine#FreePeterBiar#NoToViolence
🌍

— Julie Gichuru (@JulieGichuru) August 19, 2018

Julie was heavily trolled during the elections and took a step back from online activities and has since been going on with her African Leadership Forum program amongst many other projects. Her latest tweet, has awaken them. “You were quiet and a government supporter when Kenyans here were being killed. Like you literally said nothing when the government killed a six month old. And here you are. In our new Africa we don’t need hypocrites.” Mark Otanki commented.

Another user, Rama Makoha said, “You never said the same when Nasa supporters were being clobbered by kenya police, hypocrites everywhere.” Francis Wycliffe added, “Did you become this poetic when the same was happening to Kenyan opposition supporters who were  brutally attacked by the Jubilee regime? Hypocrite!”

Atika Benjamin said, “Surprised you can comment on things in Uganda but generally remain silent when political dystopia happens in Kenya.” It seems many concerns are on supposed silence Julie had during the brutality reigned on opposition supporters by the government. As one user Ologi Mwai noted, “Charity begins at home. Though I appreciate your concern on what’s happening in Uganda, you let us down in Kenya when you promoted peace without justice. Many Kenyans were crushed, maimed and killed without you raising a finger.”

A thick cloud of uncertainty hangs on the destiny of former Ms Mulinge, previously director of the consumer business unit at Safaricom in Kenya, who  was appointed in mid-April to take up the Vodacom MD position then held by Ian Ferrao. She was to assume office on June 1 but four months later, she’s yet to occupy the office thanks to immigration constraints.

Vodacom controls 32 per cent market share of the country’s 40 million mobile subscribers big numbers just like the sister company Safaricom is doing in Kenya.

Tanzania media reported that Ms Mulinge’s was not among the more than 400 work permits the Immigration department issued last week. This is despite having applied for the license on 23rd May.

This latest development comes at the backdrop of rumors that President Magufuli had intervened to deny Ms Mulinge entrance arguing that there are more qualified Tanzanians to match the task, according to sections of Tanzanian media. Immigration officials have turned down questions on this matter saying it is a non issue and that the department works within its own policies. Obviously, there’s more to this delay than meets the eye.

However, Ms Mulinge is not new to controversies with the immigration standoff adding to her list of problems. In 2017, the ODPP filed  charges against Sylvia Mulinge for ‘causing death by dangerous driving’ along Southern bypass in February 2015.

@SafaricomLtd's Sylvia Mulinge to appear in court on 20/11/17 to plead to charge of causing death by dangerous driving pic.twitter.com/czuvE2pX30

— Office of The Director Of Public Prosecutions (@ODPP_KE) November 13, 2017

 

Sylvia Mulinge seeks to block prosecution for girl's death in accident https://t.co/zXmIzF9Jrh pic.twitter.com/RPbfo4GIpW

— TheStarKenya (@TheStarKenya) January 17, 2018

On First of February, 2015 Sylvia Wairimu Njugua Aka Sylvia Wairimu Mulinge was the driver of the motor vehicle registration number KBU 483M, A Toyota Prado, Along the Southern-By- Pass in Nairobi when she negligently drove, managed and/or controlled the said motor vehicle and caused it to hit Mary Kusa Etale (Deceased) who sustained Serious Injuries.

While her request remains pending, she continues to serve as Safaricom director where her records are highly rated leading to the reward with Vodacom job. It is only time that will tell if she’ll be finally issued with the document or it remains a dream.

Barbie Kyagulanyi, wife to Kyadondo East MP, Robert Kyagulanyi aka Bobi Wine was given a chance to see her husband in Makindye millitary prison where he is being held. Bobi has been charged with treason in moves that are widely read as crackdown on opposition to silence arising voices by Museveni. Here’s a statement she released afterwards;

Family, friends and well-wishers,

Today I went with lawyers and members of the Uganda Human Rights Commission to Makindye military prisons, and after many days I was able to see my husband with my own eyes. I am first of all thankful to God that he is still alive! Let’s continue to pray for him.

Bobi is in pain. Bobi is hurting EVERYWHERE. We nearly lost him! He wonders how he is still alive after such treatment.

Bobi cannot stand on his own. He has a swollen face- very deformed. At first sight, it is very unlikely that you would recognize him. You may not understand this unless if you see him. His forehead is bruised and his eyes are red. He has many wounds including one on his ear. He seems to have been punched many times on the face. He cannot walk. He was carried into the room where we saw him. He cannot sit straight. He speaks with difficulty and has a lot of pain breathing. He has great pain in the left side ribs and hip. He bled a lot through the ears and through the nose. Blood stains are still visible! He is in such a terrible state and in need of urgent medical attention. I could not believe that an innocent man can be taken through all this because he has a different political opinion.

According to his story, he was not even at the scene where chaos allegedly took place in Arua. He was with friends watching news at a restaurant when news came out that his driver had been shot dead. He quickly went into his room as gun shots raged on, and for many hours throughout the night, he kept hearing soldiers banging doors and breaking into rooms of the hotel. Later, the soldiers came to his room and broke into it. They found him standing in the room and the soldiers immediately ordered him to kneel down. Before he could reach the floor, one soldier hit his head with an iron bar and he fell down.

They all descended on him, stepping on his head with boots and hitting him everywhere. He became unconscious thereafter and after so many hours, he realized that he was at the Arua airfield on handcuffs. He can’t tell what they might have done to him during that time. After gaining consciousness, he was given many injections and has no idea what they were for. They took him to Gulu where he was detained.

He can hardly remember what took place in court yesterday as he was only regaining consciousness. He was later airlifted to Makindye where he is being detained. I have seen many victims of torture- never have I seen anyone in the state which Bobi is in! When he narrates these stories, you see the kind of trauma he is going through. When you set your eyes on him, you cannot help but wonder what kind of human beings can do such things to a fellow human being.

Here is the good news- Bobi is strong at heart. His resolve has not diminished. His bones have been broken, but his spirit has not been crushed. He is still the husband I met many years ago. He knows that he is innocent of all that he is being accused of. His only crime is standing for justice and for trying to speak for the common person. He was surprised when we told him that he is accused of possessing firearms- he was hearing about this for the first time. Instead, the soldiers who arrested him took away his wallet and the money he had on him. He wonders why he is being tried by military courts! But he knows that this is part of the price he has to pay for what he believes in. He asks Ugandans to remain firm, even in the face of such repression.

He is deeply hurt by his driver, Yasin Kawuma’s death and very sad that he was not allowed to bury him! We told him about the dire health condition of Hon. Francis Zaake and others, and he sent sympathies.

He asked me to be strong for the sake of our children and I promised him that I am strong and I will remain strong. I told him how many people in Uganda and abroad are very concerned about him and he asked me to appreciate you all on his behalf.

Our request is that he is urgently allowed to access his doctors so that he gets the much needed medical attention. Especially since he highly suspects that he underwent internal bleeding.

May God’s angels be with you Bobi in that military facility where I am not. May the God of heaven fight this battle for you and for all of us.

Barbie Kyagulanyi
17th August, 2018

OPEN LETTER TO H.E. PRESIDENT UHURU KENYATTA: BY DON BOSCO OOGA GICHANA.
RE: AVERT KENYA AIRWAYS FUEL HEDGING FRAUD, IT IS CLEAR DAYLIGHT ROBBERY.
(IT IS A MULTI-BILLION SHILLINGS FRAUD)

First let me start by thanking you for finding time to read this letter. Without wasting your time, let me jump right into the main issue.

Mr. President, KQ (Kenya Airways) is a public company trading at the Nairobi Stock Exchange of which the largest shareholder is the Kenyan Tax Payer through its proxy investment arm, the government of Kenya (GOK).

Your recent purge on corruption is laudable and commendable as long as it is not personalized to target a few in whichever side of the broader political spectrum. In this, you have done exceptionally well to close your ears to your detractors and I applaud you sir. Let it be a blanket graft purge. Don’t fear for The Bible says in 2 Kings “Do not fear, those who are with us are more than those who are with them”.

Verily I tell you Mr. President, those that are with you are more than those that are with them trying to fight you. Tame them and tame the runaway graft and corruption that is eating away at the very fabric of the Kenyan society. Be cautioned that corruption will fight back hard! Fear Not!

NOW PLEASE HEAR ME OUT SIR.

Mr. President, on the 22nd of June while watching Bloomberg news headlines here in prison, I read a heading titled “Kenya Airways could resume fuel hedging in Q3”. Don’t get me wrong, hedging is a common practice among corporations that import or export or that need to repatriate profits back home and can hedge in the forex market to cushion them against foreign exchange volatility. Hedging is not about eliminating risk 100% but reducing the exposure to risk.

But Mr. President what raised my eye brows was not the Bloomberg news headline but rather an article in the Daily Nation on the 23rd of June titled, “KQ back to price hedging after costly gamble”. The article says that two years ago, when the airline tried such a bet which is regarded as an international best practice in the airline industry, prices took a downward trend, contributing immensely to a monumental KES 26 billion loss that that the national carrier booked.

That KQ lost that magnitude of cash on fuel hedging and it caused a big chunk of their bottom line loss is neither here nor there. That is a blatant lie that can’t and will never stand the test of time. It does not add up in the world of financial instruments known as derivatives. It is simply theft laced up with economic sweeteners such as hedging in order to hoodwink the major shareholders who is Wanjiku through the Government of Kenya. Wanjiku just hears of “hedging” but does not know what it entails. Mr. President do NOT get your foot off the gas pedal in matters corruption.

We, the majority, are ready to rise with your measures. This is my way of support in my own small way, from far off in a Tanzania Jail still awaiting trial the 6 years.

Let’s take an example of consumer or buyer of a product such as crude oil… (I chose crude oil because crude oil is positively correlated with the price of jet fuel cracks). Such a buyer prefers upward protection and an oil marketer or seller prefers downward protection. Logic therefore is that a buyer prefers lower prices and a seller higher prices, prices against that need hedging. For a buyer to hedge, he or she trades long FUTURES or buys futures.

KQ claim that they had a fixed price with the supplier so that if the jet fuel prices were to go up they would still buy the jet fuel cracks at that lower fixed price, say at $3.00 a litre. At prevailing market prices of say $4.80 a litre, they would still pay for jet fuel at $3.00 per litre. But instead, prices dropped to $2.50 a litre and they were forced to buy at $3.00 per litre. This is totally unacceptable!

It is trite law that you can’t hedge with your supplier for buyers and sellers have conflict of interest in pricing. A seller wants to sell at a higher price and the buyer at a lower cost price. This automatically creates a conflict of interest. Such a transaction happens physically whereas hedging is done in the ‘futures’ and ‘option futures’ market.

Crude oil futures and options are mostly traded in New York Mercantile Exchange in the US, Intercontinental Exchange in London and most recently this year in Shanghai, China.

Futures market and futures options has investors, speculators and hedgers. The latter mostly deal in oil options as opposed to oil futures. For they are not interested in physical delivery which for NYMEX is done in Cushing, Oklahoma. More specifically European options are settled in cash. Both American and European type of options are available at the NYMEX, one of the largest derivative product market in the world.

Remember, I don’t have any data on me from KQ, I am only relying on the newspaper article. What must have transpired is that some well-known KQ shareholder, knew that global crude oil prices were going or were already on a free fall. I will expound later on how they knew that global crude oil will nose dive so a contract to supply was signed and then a marketer was sublet the contract at the prevailing market prices. As such a contract was penned knowing in advance the futures of the oil prices but still a contract was hurriedly signed at prevailing market prices say of $3.00 per litre. The known mafia shareholder in cahoots with the oil/jet fuel cracks supplier in the contract bound KQ to be supplied for a whole financial year at $3.00 per litre even if the prices were to rise higher. They called that hedging, and even if the price of jet fuel was to drop, KQ was still to pay $3.00 per litre. It sounds like a fair deal but slightly discriminative on the supplier. The supplier was given a letter of credit and went smiling all the way to the bank!

Reality however is crude oil futures and options, when I say crude oil gasoline, Brent, Natural gas, heating oil, jet fuel, Naphtha and propane are all inclusive. These futures contracts and futures options contracts are delivered monthly, not quarterly nor semi-annually nor annually! For instance, there are futures prices for crude oil for August 2019, 2020 etc. The marketers know very well that there is a price guideline for every moth in form of discount or premium to the prevailing market prices. So how did Kenya Airways get into a long term contract on the hedging monster?

Toward the tail end months of 2014, OPEC + Russia increased crude oil output to protect themselves from U.S share oil products whose increased output was eating into their market share. Given also U.S light crude oil trading in the NYMEX trades at a discount compared to the international Benchmark Brent Oil. In June, the spread between the two hit an all-time high of $11.00. The end result of crude oil war between OPEC + Russia vs U.S was an oil glut in the market. This fundamental aspect of supply was in place until January 2017 when OPEC + Russia agreed to oil production cut of 1.6 million barrels per day.

Mr. President, we didn’t just wake up one day and Brent crude prices plummeted from $100 to $26 per barrel in January 2016. It happened in phases or gradually, and for such movement to happen, some fundamental of supply or demand must have been breached. We also have technical indicators that show if the short term or long term prices are in a down, sideways or uptrend. Crude oil prices are very volatile and exposed to geo-political tensions also. For instance, Brent oil reached an all-time high of $145.61 per barrel in January 2008 and a low of $26 per barrel in January 2016. But the record low was $2.23 per barrel in May 1970.

If Kenya Airways management mean well or if I was to consult for them, I would have had month by month contract from the best shortlisted suppliers premiums based on the daily global or rather NYMEX or ICE prices. For instance, for a premium of $0.25, if NYMEX future prices for today is $2.00 per litre, then I would be supplied at $2.25 per litre. The figures I am using are only figurative and not actual figures.

For upscale price protection, if for KQ to remain competitive, it must be supplied at price levels of $3.80 per litre. First is to approach a hedge fund or commodity futures broker who in both cases specializes also in Energy derivatives. For simplicity, I will use litres, but the standard is barrels and one contract is worth 1000 barrels. I will buy jet fuel call options.

With March 2019 jet fuel futures trading at $3.00 per litre in August, KQ decides that in order to protect its profit margin, the cash market price must not be allowed to exceed $3.80 cents per litre. The cost to buy the call option is $0.25 cents per litre (premium) to hedge my first option.
Net buy price = $3.25 per litre ($3.00 August price + $0.25 premium)

In February, jet fuel prices have risen as expected, March futures are trading at $4.80 per litre. KQ exercises the 1 March $3.00 calls. The closing of the resulting futures position at $4.80 per litre leaves KQ with a net $1.55 per litre. Gain on the option ($1.80 minus premium $0.25)
$4.80 per litre (Feb price) – $3.25 per litre (Net buy price)
= $1.55 per litre net gain.
When the $1.55 per litre futures market again is used to offset the $4.80 per litre paid to KQ Jet fuel supplier. The effective price for jet fuel is reduced to $3.25 per litre (0.55 per litre) below the price ceiling established with the March $3.00 call option.
Suppose then the prices fell as with the case with KQ?

If the prices had fallen below the $3.00 per litre to $2.50 per litre, KQ option losses would be limited to the $0.25 per litre premium paid for the call option, which would be allowed to expire worthless. While KQ would benefit from a lower jet fuel cracks purchase price as per the contract.

Mr. President, if they were smart enough, the conspirators could have signed such a fraudulent contract and then buy crude oil put options which offer downside protection, with a recognized international hedge fund. The fraudulent contract would have provided upside protection and the downside would have provided both the supplier and KQ fat profits. The suppliers could have benefited from the corrupt proceeds and KQ could have used the proceeds from the profitable hedge to cover up on the loss they incurred in the fraudulent contract. The price drop was a boon and not a bane as KQ would want to portray.

Mr. President, I earlier wrote that from the end of 2014, there were tell-tale signs that there was an oversupply of crude oil in the global market. Demand was also affected, because China, the largest consumer and importer of crude oil economy was in a semi recession. This also affected other commodities of which China is the largest importer such as copper, platinum, palladium, silver, aluminum, iron ore etc.

Come 2017 OPEC + Russia agreed to cut oil outputs in order to shore up prices in order to shore up prices, balance supply and demand and remove an oil glut.

From this, it was crystal clear that oil prices were to skyrocket. Kenya Airways could have benefited from that fraudulent contract because that contract enabled KQ to buy at a fixed price. They should have signed another contract when crude oil was trading at below $50 per barrel. That meant up to May 2018 when Brent crude hit $80.00 per barrel, KQ could have bought their fuel at almost half the price of the prevailing market price. Instead they claim they stopped fuel hedging because it had cost them previously. The truth is that the conspirators could have lost all the loot they had made in their previous fraudulent contract. The end result is that KQ spent over $25 billion on fuel alone! Incredulous theft indeed!

KQ could have saved almost half the amount had they hedged by buying crude oil futures options or even crude oil futures.

Apart from supply reduction of 1,600,000 barrels per day (bpd), demand had also improved because China’s economy had improved tremendously. In my May 2018 New Year’s message, I also predicted Brent oil to hit $100.00 per barrel. Indeed Brent crude was at an all-time high of $60.00 per barrel. Indeed Brent crude oil in 1H 2018 has hit $80.00 per barrel. Many commodity analysts joined me in June saying the crude oil prices will hit $100.00 per barrel notable one being Morgan Stanley that has raised its oil price forecast by $7.50 per barrel to $85.00 on expectation of more outages from Angola, Iran and Libya.

Crude oil Brent was on target to hit $100.00 per barrel but major oil consumers China and India complained to OPEC cartel of rising inflation due to high oil prices, it’s strange that KQ, a consumer complained of lower prices. Trump joined the fray also and urged Saudi Arabia to ramp up crude oil production saying “oil prices are too high, OPEC is at it again. Not good!” Trump tweeted. The pact was meant to run till the end of 2018 which obviously could have had oil prices surpass even $100.00 per barrel because Venezuela’s collapse in oil production due to financial constraints and fresh Iranian sanctions that raised fears of supply crunch. The markets were overheating.

OPEC and non OPEC Energy ministers met in Vienna Austria between June 21 and 23 of 2018. Crunch talks on a landmark pact curbing oil output, with Saudi Arabia and Russia hoping to persuade their peers to increase production again. Resistance was led by Iran, deeply wary of any move by regional rival Saudi Arabia that could push down oil prices at a time when Tehran faced renewed sanctions. Iran and Venezuela also objected. Since OPEC operates on the principle of unanimity, they agreed to end oil curbs.

Mr. President, on the very day OPEC + Rusiia arrived at the decision to ramp up production so as to lower global crude oil prices coincided with KQ CEO Sebastian Micosz announcement of plans to restart fuel price hedging in Q3 2018. The daily nation reported that the airlines executives were already in talks with banks and other firms in the energy sector to finalize on the technical aspect of the process.

Is it then a coincidence or an orchestrated conspiracy to completely kill KQ which is already on its deathbed? OPEC and + Russia agreement means prices will drop. Last year and 1H 2018 when OPEC + Russia curbed production, Kenya Airways did not hedge the fuel, and here comes Vienna meeting and the oil cartels agree to rump up production to lower the price, immediately the economic hitmen are back with their controversial fuel hedging scheme. To make matters worse, the executives of KQ claim to be in talks with banks and Energy firms!

I repeat again its trite edging principle that you can’t hedge between a buyer and seller for there is already a pricing conflict of interest. WHY IS KQ IN TALKS WITH ENERGY FIRMS???????

Your Excellency, it took Joseph in the Bible who then was in Jail to be called to interpret the dream the King had and he was eventually made the Prime Minister of Egypt. Mr. President, t had taken me in detention without trial here in TZ being my sixth (6th) year to unravel a multi-billion theft scam that has been bedeviling KQ for more than a decade now. The perpetrators of the scheme are major shareholders and political financiers. Ownership of the energy firm is well known!

Mr. President Sir, this has taken me a while to compile and many hours of research. I have no internet, no phone and no communication gadget other than the television where I am lucky to get the Bloomberg channel. Using close friends who have stuck with my ordeal since it started, I ask them to get me newspapers, they google and print for me whatever I ask them to and they bring it to me. I then study these closely, make comparative research and then do my analysis. I rate my success in this at a minimum of 97% always right. I have taken out the 3% because I am human and may sometimes miss a little part out. You have a team of good researchers, put them to work and you will find I am completely right. If need be, I can ask that you be provided by all my stock predictions and blog posts and you will know I completely understand what I have written above.

Sir, Mr. President, all I ask of you is this, MAY THIS NOT GO IN VAIN. PLEASE SIR.
Thanking you for your indulgence and patience in reading this.
Yours,
Don Bosco Ooga Gichana.
Arusha Main Prison,
Tanzania

Below is the statement from the Prime Minister which coincides with President Uhuru’s statement this Sunday reaffirming his fight on corruption when at the expense of losing friends. This happens at the heights of demolitions of illegal structures and arrests of senior land commission officials and Kenya Railways:

In the recent couple of days, the Government of Kenya has mounted a commendable crackdown on corruption and the culture of impunity on which it rides.

This crackdown and the support by the public were unthinkable at the start of this year with Kenya torn down the middle by ethnic politics, elections and impunity until the MoU in the Building Bridges to a New Kenyan Nation happened with a very clear agenda on how to address our ages old problems.

Thanks to the bipartisan support, public lands whose recovery started then stalled under the NARC regime in 2003, has kicked off, with the grabbers denied the ethnic and political party sanctuaries they usually hide in. The political atmosphere has enabled us to look at our problems minus the usual ethnic lenses. Attempts by suspects to appeal to their ethnic bases have therefore generated near zero support.

As the crackdown continues, as it must, we need to see similar energy and speed directed at recovery of assets that were acquired from the proceeds of corruption and impunity.
It is fair to expect that the business premises that were set up on public land generated some private gain for the illegitimate owners in the same way stolen public funds generated income in the form of bank interests and property for the suspects.

The Asset Recovery Agency must move with speed and ensure that the suspects, both those out on bail and the ones facing arrest, do not hide their ill-gotten wealth or access and use them to undermine justice and frustrate the war on corruption and impunity.
Kenyans need these monies seized and returned to the public to finance the many gaps being experienced in the development plans, including repayment of the ever-rising foreign debts.

Partly because of wanton theft of public funds including those from donors, taxes are going up on virtually everything. Ordinary Kenyans must not continue to bear this burden while the corrupt keep their loot.

Asset recovery must be seen and felt in our anticorruption crusade. Depriving corrupt actors of these ill-gotten wealth and returning them to the public will support development and economic growth. It will restore confidence in the current crackdown. Corruption must be made a painful crime.

The Asset Recovery Agency must move out of boardrooms and be seen to be acting publicly in unison with the Director of Public Prosecutions, the Ethics and Anti-Corruption Commission and the Directorate of Criminal Investigations.

It is equally important in the process of asset recovery to work together with the Kenyan public. Many people in this country want to contribute to this war and are looking for a way in which they can assist the anti-corruption agencies to remove this scourge from our society. It is the people who know better who is living beyond their means. The public is the best source of information.

The Asset Recovery Agency needs to urgently set up a platform through which the public can share this information with the government.
All branches of the government; the Legislature, Judiciary and Executive must pull in the same direction if the corruption networks are to be overcome.

The public currently feels cheated by Parliament, which has become the weakest link in this war, with reports of money changing hands for adoption or rejection of reports. This is a major shame to the nation and deserves urgent and thorough investigation by multi-agency team from the EACC, DPP and DCI.

In the March 9 MoU, we agreed to fight corruption from a wide and common front by strongly supporting whistleblowing from all Kenyans. The MoU mandates the public to report corruption whenever they witness it. Kenyans must take up this role and also pressure their elected representatives to fight corruption or resign.

This is also the time for our international partners, who have long lamented about the culture of corruption and impunity in Kenya, to play ball, open up their institutions and help trace Kenya’s assets and monies hidden in their countries.

About three months ago, the DPP appealed for the collaboration of the Federal Bureau of Investigations (FBI) in the fight against corruption. We are anxiously waiting for that support, preferably in more practical ways than routine capacity building and training. Already, Switzerland has promised to probe their banks and trace Kenya’s assets and fund hidden there. All our other partners should do the same.
END.