State money paid to Kulei for services not rendered
Former President Daniel Moi’s aide Joshua Kulei in court on January 10, 2019. He is accused of fraud. PHOTO | DENNIS ONSONGO | NATION MEDIA GROUP
What you need to know:
- Mr Kulei, Ashar Limited, Sian Enterprises and Agrid Limited, former KPC boss Ezekiel Komen and Mr Prakash Bhundia are accused of conspiracy to defraud a State corporation of Sh65,272,727 in 1999.
- Mr Kulei is separately charged with obtaining Sh17.9 million through the sale of public land in Mombasa to a private firm.
A witness Thursday told a Nairobi court that part of payments made by a State corporation were traced to an account belonging to former President Daniel Moi’s aide Joshua Kulei.
Testifying before Senior Principal Magistrate Felix Kombo, Mr David Kang’ara, an investigating officer, said he obtained information from a bank where Kenya Pipeline Company (KPC) held an account.
He told the court part of the money was wired to one of the companies associated with Mr Kulei
Further, the witness said the money was paid yet no services were rendered.
FRAUD
He said Ashar Limited, a company associated with Mr Kulei, claimed that it had rendered engineering and foundation laying services on behalf of East Africa Gas Company limited (EAGC), a claim which was false.
Mr Kang’ara said Ashar Limited and Sian Enterprises received Sh5,999,890 from EAGC over a joint venture with KPC, claiming that they had paid land rates and assessment fees on behalf of EAGC.
Mr Kulei, Ashar Limited, Sian Enterprises and Agrid Limited, former KPC Managing Director Ezekiel Komen and Mr Prakash Bhundia are accused of conspiracy to defraud a State corporation of Sh65,272,727 in 1999.
Mr Komen has been accused of authorising the payment.
NO CASE
The accused have denied conspiracy and abuse of office charges arising from the transfer of 12 plots, irregularly excised from the land belonging to the Kenya Airports Authority (KAA).
Charges against former Commissioner of Lands Wilson Gachanja and former KAA managing director Peter Lagat were quashed last year after the court ruled that they had no case to answer.
Mr Kulei is separately charged with obtaining Sh17.9 million through the sale of public land in Mombasa to a private firm, Gas Company Ltd.
BREACH
According to the prosecution, Mr Kulei obtained Sh12 million from Gas Company Ltd on May 19, 1999 in Nairobi and another Sh5.9 million by falsely pretending that Sian Ltd had paid land rent, rates and assessment fee.
Mr Komen is accused of breach of trust by authorising the payment of Sh65.2 million from KPC to Gas Company.
He is said to have been a signatory on behalf of the KPC, which owned a 45 per cent stake on behalf of the government.
All the companies named had a joint venture but which collapsed before the project kicked off.
