Kenya Insights

Tag: Okoth Obado scandals

  • Obado’s Sh505M Corruption Case Headed for Out-of-Court Settlement

    Obado’s Sh505M Corruption Case Headed for Out-of-Court Settlement

    Former Migori Governor Okoth Obado’s long-running corruption case involving Sh505 million may soon conclude through an out-of-court settlement, following formal negotiations with the Director of Public Prosecutions (DPP).

    During proceedings at the Milimani Chief Magistrate’s Court yesterday, defense lawyers informed Chief Magistrate Charles Ondieki that they had formally written to DPP Renson Ingonga on April 25, 2025, seeking an alternative resolution to the criminal trial that has dragged on since 2018.

    “We have held several meetings and deliberations with the DPP and EACC following the letter,” the defense team told the court.

    “We believe the negotiations are at an advanced stage and anticipate a conclusion within a month.”

    The defense requested an adjournment to allow settlement talks to be finalized, proposing a mention date of July 1, 2025, to update the court on the negotiations’ progress.

    In a significant revelation, Obado and his 26 co-accused disclosed that they had already settled two other asset recovery lawsuits out of court.

    These cases, previously pending before the High Court, involved unexplained wealth and proceeds of crime worth Sh1.9 billion and Sh73 million.

    The settled cases implicated Obado, his four children, businessman Jared Peter Oluoch Kwaga, and associated companies.

    According to court submissions, they agreed to pay a total of Sh253 million, which the Ethics and Anti-Corruption Commission (EACC) accepted as a fair settlement.

    State prosecutors confirmed receipt of the April letter and acknowledged ongoing discussions between the Office of the DPP, EACC, and defense counsel aimed at terminating the case through Alternative Dispute Resolution (ADR).

    “The plea bargain process initially began in October 2024, but negotiations stalled. They have now resumed, and we confirm they are progressing,” the prosecution stated, adding that they had requested further clarification from EACC on May 6 regarding issues raised by the defense.

    The EACC representative expressed willingness to participate in the ADR process, provided negotiations adhered to the legal framework outlined in Sections 137A–137O of the Criminal Procedure Code.

    Seven years with little progress

    Magistrate Ondieki, in his ruling on the adjournment request, noted the case’s troubled history.

    Filed in 2018, the trial has faced numerous delays including a magistrate transfer and language barriers affecting some of the accused.

    In the seven years since the trial began, only one witness has testified and is yet to complete their testimony.

    Obado also cited his ongoing separate murder trial, in which he is accused of killing his former lover Sharon Otieno, as another reason to postpone proceedings.

    The corruption case involves Obado, his four children, and numerous co-accused in allegations of misappropriation of public funds amounting to Sh505 million during his tenure as Migori Governor.

    The court granted the adjournment, with the case scheduled to be mentioned on July 1, 2025, when parties are expected to update the court on the settlement negotiations.

  • Obado’s Covert Scheme to Reacquire Sh235m Properties Through Proxies

    Obado’s Covert Scheme to Reacquire Sh235m Properties Through Proxies

    Former Migori Governor Okoth Obado is orchestrating a covert plan to reclaim his Sh235 million properties through proxies, following the government’s shocking decision to drop a Sh1.9 billion asset forfeiture case against him.

    This scheme involves close allies acting as buyers, raising serious concerns about the integrity of Kenya’s anti-corruption efforts.

    With EACC officers allegedly benefiting and political influence at play, this deal undermines public trust and questions the true commitment to justice in Kenya’s fight against high-level corruption.

    Okoth Obado’s Covert Scheme and Property Dealings

    Close allies of former Migori Governor Okoth Obado are orchestrating a covert operation to reclaim his properties through proxies.

    This revelation comes after the government shockingly dropped a Sh1.9 billion asset forfeiture case against him.

    Our sources indicate that Obado’s team played it safe, opting for a “Plan B” to reclaim the properties. They bet on the fact that no one would raise the colossal sum needed to purchase these properties at auction.

    Obado has deliberately released some rural properties but has a strategic plan for the more valuable assets.

    Proxy Buyers in Place

    Obado has already identified individuals who will be funded to buy the properties and then return them at an opportune time.

    Registered and operational firms have been carefully selected by Obado’s legal team to facilitate this maneuver.

    EACC’s Involvement and the Suspicious Settlement

    The Ethics and Anti-Corruption Commission (EACC) officers involved in the case are rumored to benefit from this scheme.

    This scenario is reminiscent of the controversial acquisition of Integrity Centre by the EACC.

    According to EACC lawyer Jackie Kibogy, the settlement absolves Obado, his four children, businessman Jared Kwaga, and associated firms from facing trial for alleged financial impropriety amounting to Sh1.9 billion and an additional Sh73 million linked to unexplained wealth.

    The Asset List

    The assets to be auctioned include:

    • A house in Loresho valued at Sh40 million.
    • A commercial property known as Sunrise Centre.
    • Residential blocks in Suna East worth a combined Sh137.6 million.
    • Two Toyota Land Cruiser V8 vehicles.
    • Several other properties totaling Sh235.6 million in value.

    Judicial and Public Outcry

    Judge Esther Maina questioned EACC’s legal counsel, demanding justification for settling such a significant case for just Sh235 million.

    This settlement has sparked widespread outrage, with many questioning the integrity of Kenya’s anti-corruption efforts.

    Obado’s Covert Scheme and Political Fallout

    Obado’s influence in Kenyan politics, combined with the scale of the allegations, casts a long shadow over the settlement.

    Critics argue that this deal undermines the pursuit of justice and sends a discouraging message about the state’s commitment to fighting high-level corruption.

    Legal and Ethical Implications

    Legally, resolving the case without a full trial deprives the public of transparency and accountability. It suggests that powerful individuals can evade accountability, potentially at taxpayers’ expense.

    Conclusion

    As details of this shadowy operation continue to unfold, the public remains skeptical about the true motives behind the EACC’s settlement with Okoth Obado.

    This case is a stark reminder of the ongoing challenges in the fight against corruption in Kenya, highlighting the urgent need for more stringent and transparent anti-corruption measures.

    The spotlight now falls on the EACC and other involved parties to demonstrate that justice is not a commodity to be bought and sold, but a fundamental right for all Kenyans.

  • Obado’s Sh235 Million Deal With The State Exposed: Justice or Betrayal?

    Obado’s Sh235 Million Deal With The State Exposed: Justice or Betrayal?

    In a stunning turn of events, the Kenyan government has dropped a staggering Sh1.9 billion asset forfeiture case against former Migori Governor Okoth Obado and his associates, settling instead for a mere Sh235 million.

    This controversial decision revealed in a consent filed before Justice Esther Maina, has sparked outrage and disbelief across the country.

    Obado's Sh235 Million Deal

    So the state dropped its Sh1.9bn case for Obado’s Sh235 Million Deal?

    The Ethics and Anti-Corruption Commission (EACC) disclosed that they opted to resolve the case out of court, citing a settlement agreement dated June 5, 2024.

    According to EACC lawyer Jackie Kibogy, this agreement absolves Obado, his four children, businessman Jared Peter Oluoch Kwaga, and associated firms from facing trial for alleged financial impropriety amounting to Sh1.9 billion and an additional Sh73 million linked to unexplained wealth.

    What the Deal Includes

    Under the terms of the settlement, Obado and his co-accused are relinquishing significant assets.

    These assets reportedly include a house in Loresho valued at Sh40 million, a commercial property known as Sunrise Centre, and residential blocks in Suna East worth a combined Sh137.6 million.

    Furthermore, they are surrendering two Toyota Land Cruiser V8 vehicles and several other properties, all valued at Sh235.6 million.

    These assets are slated for public auction, ostensibly to recover a fraction of the funds allegedly misappropriated.

    Public Outcry and Judicial Scrutiny

    The decision has prompted severe criticism from various quarters, questioning the rationale behind accepting a settlement representing only a fraction of the alleged misappropriated amount.

    Judge Esther Maina expressed skepticism herself, asking EACC’s legal counsel to justify why they settled such a significant case involving billions for just Sh235 million.

    Political Ramifications

    Given Obado’s political influence and the scale of the allegations against him, the settlement raises serious concerns about the integrity of Kenya’s anti-corruption efforts.

    Critics argue that allowing such a deal not only undermines the pursuit of justice but also sends a disheartening message to the public about the state’s commitment to fighting corruption at the highest levels.

    Obado’s Sh235 Million Deal: Legal and Ethical Implications

    From a legal standpoint, the abrupt resolution of the case without a full trial deprives the public of transparency and accountability.

    It raises questions about whether justice truly served or if powerful individuals can negotiate their way out of accountability, potentially at the expense of taxpayers.

    The Role of EACC

    The Ethics and Anti-Corruption Commission, tasked with safeguarding public resources and prosecuting graft, faces scrutiny for its handling of the case.

    Critics argue that the decision to settle for Sh235 million appears lenient compared to the severity of the allegations, suggesting a potential lapse in diligence or perhaps even external pressures influencing the outcome.

    Wrapping Up

    As Kenya grapples with endemic corruption and struggles to restore public trust in its institutions, the handling of high-profile cases like Obado’s becomes emblematic.

    The Sh235 million settlement has cast a shadow over the efficacy of anti-corruption efforts and the integrity of the judiciary.

    Moving forward, transparency, accountability, and a commitment to upholding the rule of law are paramount if Kenya is to overcome the scourge of corruption that continues to undermine its progress.

    In summary, the Sh235 million deal to drop the Sh1.9 billion case against Okoth Obado and associates raises serious questions about justice, fairness, and the effectiveness of Kenya’s anti-corruption strategies.

    The repercussions of this controversial decision will undoubtedly reverberate through the corridors of power and the hearts of the Kenyan public for years to come.