Former Nairobi governor Dr Evans Kidero used millions looted from the City Hall coffers to upgrade his apartments at Nairobi’s Riverside Drive, the Ethics and Anti-Corruption Commission (EACC) has revealed.
According to the new revelations, Kidero started stealing from the county as early as 2014, less than a year after he was elected, through fake tenders.
For instance, on January 7, 2014, the county government wired Ksh58.8 million to a company known as Cups Limited, associated with Dr Kidero’s former chief of staff George Wainaina.
Later, Ksh14.4 million was sent to Virji Meghj a day after. Meghj was the contractor working on Gem Suites Riverside apartments, which are owned by Kidero.
EACC now wants to seize one of the apartments in a bid to recover the amount.
“In the alternative and without prejudice, a declaration that the plaintiff (EACC) is entitled to trace the aforesaid amount… into serviced apartments (known as Gem Apartments) on land parcel known as LR. No 205/46 within Riverside Area, in Nairobi County and that the 1st defendant holds the property in trust for the county government of Nairobi,” said EACC in court documents.
The Ksh58 million is said to have been shared among 10 individuals, whose assets including cars are targeted by the anti-graft agency.
The money was paid after a non-existent company, Kyavee Holdings, filed a case against the defunct Nairobi City council over a land deal.
Wachira Mburu Mwangi & Company Advocates represented the county government in the case, resulting to the theft of the millions.
Mr Mburu retained Ksh11.5 million, sent Ksh7 million to John Ndirangu Kariuki and Ksh15 million to Cups Ltd.
Other recipients of the money include Paul Mutunga Mutungi (former councillor), Runa Insurance which received Ksh10 million and Mburu’s wife, Hannah Muthoni (Ksh5.5 million).
“The legal fee claim was a fraudulent scheme set to defraud the county government of Nairobi as the said fee claim was founded on false claim, by a non-existent company and intentionally filed by an unqualified person with the intention of rendering the suit incompetent,” the EACC says.
In the court case, Kyavee Holdings claimed to have been allocated a land measuring 1.720 hectares in Nairobi’s South “B” area. The company said it paid Ksh536,667 in January 1968, and intended to build a four-star hotel.
In the suit, Kyavee was demanding a Ksh3.1 billion compensation for loss of profits. The case was later withdrawn.
Dr Kidero owns Gem Investments, Gem Apartments, Gem Suites, Orro Limited and Argenti Limited, on top of land and buildings estimated to be worth at least Ksh9 billion.