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DCI Summons Joe Sang, 11 Others Over Ksh70 Billion Loss At Kenya Pipeline

The Directorate of Criminal Investigation (DCI) has summoned Kenya Pipeline Managing Director Joe Sang and 11 others over theft of money through unauthorised advancement of fuel to oil marketing companies disguised as loss.

The company is said to have lost over Ksh70 billion through flawed tendering processes, inflated prices and scandalous deals.

Among those summoned by the DCI alongside Sang include Madam Filicity Biriri, Mr Samuel Odoyo, Samson Soimo, Antipas Tirop, Felix Relimoi, Pius Mwendwa, Francis Cherotich, Carol Kiplagat, Beatrice Ogutu and Juma Amina.

“This office is investigating a case of embezzlement of money, through theft by some oil marketing companies in collusion with Kenya Pipeline Corporation staffs by way of unapproved fuel advancement to the oil marketing companies,” reads the letter from the DCI, addressed to Sang.

Sang is required to present himself with the full statement of the list of the oil marketing companies from January 2015 to date, as well as approval documents.

In a letter addressed to Sang from the Ministry of Petroleum and Mining, it emerged that an audit by Chet Holdings and Waore Agencies found massive losses at the KPC. The findings of the audit report are “disturbing noting its conclusions”, according to Cabinet Secretary John Munyes.

Read: The Ksh 1.8 Billion Kisumu Oil Jetty Scam Pulled by John Ngumi at KPC

“In view of the seriousness of the findings and considering that there are allegations of product loss in Kenya Pipeline Company Ltd, Chet Holdings found it fit to submit the report to Ministry of Petroleum and Mining. The Ministry as the policy maker has the responsibility to ensure that such findings are fully investigated and a report shared with the concerned stakeholders,” reads the letter in part.

Through the letter, Sang was directed to inform the board of directors for guidance.

Mid this year, Sang issued a statement refuting claims that the company had lost any money to mismanagement.

“In the recent past, we have seen allegations circulating in media stating that KPC has lost Kshs70 billion, and today, Kshs95 Billion of taxpayer’s money. We find these allegations quite inaccurate, astonishing and maliciously calculated to injure KPC as a responsive organization that is currently fulfilling its mandate to the Kenyan people,” stated Sang.

So far, three company officials have been sent on leave to pave the way for investigations on alleged tender irregularities at the company.

General Manager, Finance, Samwel Odoyo, Procurement Manager Nicholas Gatobu and specialist welder Amina Juma have been out on compulsory leave over a Ksh600 million scandal.

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Francis Muli

Written by Francis Muli

Senior reporter at Kahawa Tungu, Muli has a passion for human interest stories. He believes in unearthing societal rots that have been hidden from the public eye. He has also carved himself a niche in writing business stories. He has worked for various organisations including Kenya Television Service, Business Today among others. Follow him on Twitter @FmuliKE.
Email: mulifranc2@gmail.com

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