Kenya Insights

Tag: EACC investigation

  • EACC Probes Otuoma Over Sh1.4 Billion Tenders Awarded to Close Associates

    EACC Probes Otuoma Over Sh1.4 Billion Tenders Awarded to Close Associates

    Busia Governor Paul Otuoma has been drawn into a deepening corruption probe after appearing before the Ethics and Anti-Corruption Commission over allegations that his administration irregularly awarded tenders worth more than Sh1.4 billion to companies linked to his close associates and family members.

    The governor reported to the EACC Western Regional Offices in Bungoma on Tuesday morning, February 3, 2026, where he recorded a statement with investigators in connection with the ongoing inquiry.

    He arrived shortly after 9.30am and was grilled for several hours as detectives pieced together what they describe as a complex web of proxy companies and suspicious payments spanning multiple financial years.

    At the centre of the investigation are tenders and payments amounting to over Sh1.4 billion allegedly awarded between the 2022/23 and 2024/25 financial years to at least 26 firms believed to be linked to relatives and close associates of senior Busia County officials.

    Investigators say the firms may have been used to siphon public funds through inflated contracts and irregular procurement processes.

    According to the EACC, Governor Otuoma is among eight county officials under scrutiny over allegations of conflict of interest, procurement irregularities and theft of public funds.

    EACC Director of Legal Services and Asset Recovery David Too said the officials are also suspected of amassing wealth that is not commensurate with their known sources of income.

    One line of inquiry focuses on Sh90 million allegedly paid to four private entities said to have direct links to the governor.

    Detectives are seeking to establish whether the payments were lawful and whether the firms met the legal requirements to do business with the county government.

    The commission is also probing the construction of a county yard undertaken during the 2023/24 financial year.

    Investigators allege that 2.4 hectares of public land were irregularly leased to a private contractor for 25 years without a competitive tendering process, raising concerns of abuse of office and loss of public land.

    The governor’s summons follows a series of search operations conducted in August 2025, when EACC officers raided homes and offices of several senior Busia County officials, including three county executive committee members and a chief officer.

    Documents and electronic devices were seized during the raids as part of efforts to trace the flow of funds and identify the true beneficiaries of the contested tenders.

    While confirming the governor’s appearance, the commission was keen to stress that the investigations are still ongoing.

    Mr Too said no conclusions have been reached and that any culpability will only be determined after the probe is complete and, where necessary, files forwarded to the Director of Public Prosecutions.

    Governor Otuoma has not publicly commented on the substance of the allegations, but allies have previously dismissed claims of corruption in the county as politically motivated.

    The unfolding probe now places the Busia boss under intense scrutiny, with pressure mounting for accountability as the EACC tightens its grip on county procurement scandals across the country.

  • Fire at MOWASCO Offices Linked to Ksh. 9 Billion Scandal as World Bank Threatens to Pull Funding

    Fire at MOWASCO Offices Linked to Ksh. 9 Billion Scandal as World Bank Threatens to Pull Funding

    A suspicious fire that broke out at the Mombasa Water Supply and Sanitation Company (MOWASCO) offices on Saturday, May 10, is now being investigated as a deliberate attempt to destroy evidence connected to an alleged multi-billion-shilling corruption scandal, according to sources familiar with the matter.

    The late-night blaze destroyed property of unknown value and has prompted widespread speculation about its timing.

    Emergency response teams including County Emergency Teams with support from the Kenya Navy and Kenya Ports Authority reportedly arrived more than an hour after the fire began, by which time significant damage had already occurred.

    However, insiders claim the officers were merely used as pawns in a well-planned fire incident with selfish interest directly linking MOWASCO Managing Director Abdirahim Mohamed Farah to the incident.

    Notably, senior government officials including County Secretary Jeizan Faruk and Chief Officers Swaleh Mwalizuma, Ali Abdulrahman, and Albert Keno, alongside MOWASCO MD Farah Abdirahim were on site supervising the emergency response, raising further questions about the circumstances.

    Stalled projects and mismanagement 

    Multiple World Bank-funded water and sanitation projects worth billions of shillings have either stalled or remain unimplemented, despite contractors allegedly receiving full payment.

    These include the Kipevu Waste Management Project and Shimo La Tewa Sewer Line Project, both showing little to no progress despite substantial disbursements.

    A Senate Committee recently confirmed these failures during site inspections that revealed abandoned project sites and incomplete infrastructure works, prompting concerns about the potential withdrawal of World Bank funding.

    MOWASCO is reportedly facing “ballooning pending bills” owed to suppliers, many of whom have “almost given up on pushing for their justified payments.

    According to sources privy to the story, some cartels who have been bagging millions of shillings on a silver platter from the company are suspected to be behind the fire suggesting an organized attempt to obstruct investigations into financial mismanagement.

    Leadership failures

    The company has been embroiled in controversy since at least 2019.

    In February this year, the County Public Investments and Special Funds Committee, chaired by Vihiga Senator Godfrey Osotsi, met with Mombasa County Governor Abdullswamad Nassir to discuss the Auditor General’s reports on MOWASCO’s financial statements for fiscal years 2018/19, 2019/20, and 2020/21.

    The committee directed the Governor to reconstitute the Board of Directors within 30 days and implement performance contracting for all employees to improve accountability.

    However, sources allege that instead of implementing reforms, the Governor unlawfully renewed the Managing Director’s term without board approval and replaced board members who resisted political interference.

    Despite these governance challenges, Mombasa’s water crisis continues unabated.

    The county’s daily water demand stands at approximately 220,000 cubic meters, yet the region receives only 30,000 to 35,000 cubic meters per day.

    Compounding this shortage, about 50 percent of available water is lost through leakages and illegal connections.

    In 2023, MOWASCO attempted to introduce new regulations targeting private water tankers, borehole operators, exhaust operators, and shallow well operators, ostensibly to address illegal water connections and health concerns.

    However, county legislators countered that these illegal connections were being facilitated by insiders at MOWASCO itself.

    Land controversy

    Adding to the company’s troubles, allegations have surfaced that “cartels associated with County Government are targeting a plot measuring about 1 acre” located between the MOWASCO building and the National Social Security Fund (NSSF) building.

    This raises further questions about potential conflicts of interest among county officials.

    With mounting evidence of systematic corruption and mismanagement, calls are growing for the Ethics and Anti-Corruption Commission (EACC), the Office of the Auditor-General, and the Senate to launch thorough investigations into both MOWASCO and the Coast Water Works Development Agency (CWWDA).

    The Water Services Regulatory Board (WASREB) has already issued a formal warning to the county government, threatening to revoke MOWASCO’s operating license due to governance concerns and operational failures.

  • Senior KeRRA Official Arrested in Multibillion Corruption Scandal

    Senior KeRRA Official Arrested in Multibillion Corruption Scandal

    KAJIADO — An assistant accountant at the Kenya Rural Roads Authority (KeRRA) was arraigned in court today on charges of corruption, following a years-long investigation that uncovered an elaborate scheme involving tens of millions of shillings in misappropriated public funds.

    Esther Wanjiru Chege, who worked at the KeRRA Kajiado office, appeared before the Kajiado Law Courts alongside three co-accused persons, facing multiple charges including conflict of interest, unlawful acquisition of public property, and conspiracy to commit economic crimes.

    The Ethics and Anti-Corruption Commission (EACC) arrested Chege and her co-conspirators on May 2 after investigations revealed she had allegedly used her position to influence the award of lucrative government contracts to companies owned by immediate family members.

    “This is a clear case of an official abusing her position for personal gain,” said an EACC spokesperson. “Our investigations have uncovered a sophisticated network of companies linked to the accused, which received preferential treatment in tender awards.”

    Web of Companies

    According to court documents, Chege allegedly helped steer contracts to Reswan Enterprises Limited, a company registered under her brother James Chege Njoroge and businessman James Ngigi Kamau. Despite not being officially listed as an owner, investigators found that Chege herself operated the company’s bank accounts.

    Three additional companies—Rokays Enterprise Limited, Reswan Holdings Limited, and Kaydtech Enterprises Limited—all owned by Chege’s husband, Robert Macharia Kimotho, also received multiple tenders during her tenure at various KeRRA regional offices.

    The EACC investigation found that Reswan Enterprises alone received approximately Ksh 20 million from KeRRA contracts, while Rokays Enterprise Limited received over Ksh 5 million. The total amount implicated in the scandal is approximately Ksh 38.6 million.

    Assets Seizure and Ongoing Civil Case

    Beyond the criminal charges, the EACC is pursuing a civil case seeking to forfeit assets worth Ksh 38,610,843.91 that they allege were acquired through corrupt practices. The Commission has already seized 13 title deeds with an estimated value exceeding Ksh 100 million, for properties located in Kiambu, Nyandarua, Naivasha, Makueni, and Kajiado counties.

    The court had previously frozen Chege’s bank account, which showed transactions totaling Ksh 26,359,921 between January 2016 and May 2022—a period during which her monthly salary increased from Ksh 49,580 to Ksh 116,640.

    “The accused was found to be in possession of assets that are disproportionate to her known legitimate sources of income,” stated the EACC in court documents.

    Part of Larger Crackdown

    This case appears to be part of a broader anti-corruption initiative targeting officials at KeRRA. In its third quarterly report for 2024, the EACC recommended prosecution of several KeRRA officials, including Joel Mutambu Kilonzi and Anthony Akolo Mukembo, for similar conflict of interest allegations.

    The total monetary value of all cases the EACC has recommended for prosecution amounts to Ksh 2.048 billion, indicating the scale of alleged corruption within various government agencies.

    All accused persons in the Chege case pleaded not guilty to all charges.

    The court will issue directions on bail and bond terms on May 9, 2025.

    This is a developing story.

  • MP Joseph Hamisi Dena Implicated in Multi-Million Corruption Scandal

    MP Joseph Hamisi Dena Implicated in Multi-Million Corruption Scandal

    A nominated Member of Parliament from the Amani National Congress (ANC) party, Joseph Hamisi Dena, faces potential imprisonment following allegations of involvement in an extensive money laundering scheme that has siphoned millions of shillings from taxpayers.

    The Ethics and Anti-Corruption Commission (EACC) has launched a comprehensive investigation into Dena and several associates for allegedly using multiple companies as vehicles for money laundering activities involving government agencies.

    The probe centers around suspected collusion between the MP and Antony Muhanji, a former senior officer at a prominent government parastatal based in Kenya’s Coast region.

    The investigation encompasses allegations of money laundering, abuse of office, and conflict of interest.

    In a letter dated July 4, 2024, the EACC summoned Dena and two other directors, Mercy Mterere and Joseph Kingwangu Safarry, regarding allegations of conflict of interest and abuse of office.

    The companies under scrutiny include Stone Contractor, Escalate Group C, Harbour Contractors (K) Limited, Kitengela Aqua Fish Farm Limited, Citiport Engineering (K) Limited, and Idealyic Company Limited.

    Financial records reveal suspicious transactions involving substantial sums. m

    An Equity Bank account associated with one of these companies received Ksh 66,820,174 between February and October 2021. m

    Similarly, a Cooperative Bank account received Ksh 42,737,504 between January 2018 and 2019.

    The investigation has extended to include some of Dena’s relatives, specifically Gliny Joseph Dena and George Shuma Dena, who have been linked to the scheme.

     

    According to intelligence reports, these companies, through their directors and proxies, are suspected of engaging in money laundering and tax evasion in their dealings with government agencies.

    In a particularly suspicious arrangement, one company received 99 percent of its deposits from a single government agency—its only customer.

    Financial analysis indicates significant tax irregularities.

    A comparison between bank deposits and declared income revealed that one of the companies understated its income in 2021 by Ksh 58,817,755. The EACC estimates that approximately Ksh 17,645,326 in income tax and Ksh 9,410,841 in VAT remain unpaid.

    This is not the first time these individuals have faced legal scrutiny.

    In 2022, the EACC sued Muhanji in an effort to recover over Ksh 78 million, a case in which Dena was also implicated.

    Court documents alleged that Muhanji, while serving as a project manager, awarded a contract for excavation and concrete work to his own company without disclosing his directorship.

    Sources familiar with the investigation indicate that Dena has recently moved funds in an apparent attempt to evade authorities.

    Documents also suggest that the MP has leveraged his influence to gain unauthorized access to bank accounts where he is not officially registered as a signatory.

    The EACC’s investigation is ongoing, with particular focus on potential tax evasion as the commission works with the Kenya Revenue Authority to examine financial records associated with Dena and his business associates.​​​​​​​​​​​​​​​​

  • Justin Muturi Faces Arrest Threat Over Alleged Government Secrecy Breach

    Justin Muturi Faces Arrest Threat Over Alleged Government Secrecy Breach

    Interior Cabinet Secretary Kipchumba Murkomen launched a scathing attack on former Public Service CS Justin Muturi in a dramatic escalation of political tension.

    Murkomen now accuses Muturi of breaching government confidentiality by withholding sensitive state documents.

    The Interior CS is demanding a full investigation and possible arrest, warning that such actions would have led to immediate detention in other countries.

    This growing feud signals deeper rifts within President Ruto’s government and raises questions about transparency, loyalty, and internal power plays.

    CS Murkomen Demands Justin Muturi’s Arrest Over State Secrets

    Interior CS Kipchumba Murkomen has publicly declared that former Public Service CS Justin Muturi could face arrest for allegedly mishandling confidential government documents.

    Speaking in Mombasa on April 8, Murkomen said Muturi had admitted to keeping classified documents in his personal email—an act he described as dangerous and illegal.

    “He says he kept government documents in an email. In another country, he could have been arrested. That is not how we handle state material,” Murkomen emphasized.

    He called on top investigative bodies—the EACC, DPP, and DCI—to move in and probe Muturi without delay.

    Murkomen believes that Muturi’s actions have put the government at risk and that his behavior warrants legal action.

    Murkomen also took the opportunity to dismiss Muturi’s claims that President William Ruto tried to coerce him into corrupt deals.

    Instead of speaking to the media, the CS challenged Muturi to present any evidence of such coercion directly to the DCI.

    “If he was really forced to engage in corruption, let him go to DCI and provide the evidence. Why is he waiting to be summoned? He walked there the other day—he can walk in again,” Murkomen fired.

    The Interior CS’s outburst came just hours after he clarified that the recent withdrawal of Muturi’s security detail was routine.

    He stated that the move might have been a scale-down, not a targeted political action, since Muturi is no longer in government.

    “I’ll check with the Inspector General. Security matters are not political—they’re handled at the IG level. If Muturi wants to escalate it, then it can come to my desk,” Murkomen added.

    Muturi Cries Foul Over Security Withdrawal

    Earlier that same day, Justin Muturi claimed the government was punishing him for his political views. According to him, his bodyguards were ordered to stop reporting to duty without warning. He believes the withdrawal was a response to his vocal criticism of the Ruto administration.

    “The government immediately withdrew my security. They were told not to report because I am fighting the government,” Muturi said in a strongly worded statement.

    Still, he tried to downplay the severity of the action. “It’s okay. Many Kenyans don’t have government protection. I’ll be fine,” he said.

    Muturi’s remarks have fueled speculation of a growing fallout between him and President Ruto’s inner circle. Once a key ally, Muturi’s recent public dissent—and now, these claims of targeted intimidation—paint a picture of deepening fractures within the ruling administration.

    As political tensions rise, all eyes are now on the DCI and EACC to see if formal investigations will begin—and whether Justin Muturi, once a powerful Cabinet figure, will find himself on the wrong side of the law.