Mbo-I-Kamiti under probe over new land fraud claims
The Directorate of Criminal Investigations (DCI) is probing allegations of possible fraud, forgery and tax evasion by officials at the controversial Mbo-I-Kamiti Land Buying Company in Kiambu that for years has been dogged by leadership wrangles and murders.
The move, according to sources and documents seen by People Daily, follows a protest letter by a section of shareholders to the Ethics and Anti-Corruption Commission (EACC).
Shareholders had asked EACC to probe alleged illegal sub-division of land, plunder, unlawful disposal of office assets and conspiracy by the Registrar General’s office to allow illegal directors remain in office.
Following the complaints, EACC, through Susan Kanyeki, wrote to DCI to probe the issues which she said “can be investigated by your good office” and requested that once the investigations are complete, the Twalib Mbarak-led commission be informed of the findings.
“After careful analysis of the report, we are of the considered view that majority of the issues mentioned can be competently investigated by your good office,” the EACC wrote to Kinoti.
People Daily established that already, a file had been opened at the DCI headquarters and the matter allocated an officer who is probing the claims.
The matter has also roped in the Central Bank of Kenya (CBK) and the Attorney General’s office, which late last month wrote to the National Bank that transacted the accounts.
CBK, through Daniel Muguima on behalf of the Director Bank Supervision, in a letter dated November 25, told the shareholders they were in receipt of their “complaint against National Bank of Kenya” and that they had written to the bank on the same.
“This is to acknowledge that we have received your complaint and wrote to the National Bank of Kenya to appraise us on this matter.
We shall revert comprehensively once we obtain response,” the letter to the shareholders that followed their complaint dated November 17.
Attorney General’s office, also in a letter dated November 26, and signed by Senior State Counsel Freedom Kibai related to Bradgate Coffee Estate, one of the farms owned by the company, acknowledged receiving complaint “and had forwarded the same to the CBK for further action”.
Kanyeki, in the letter dated February 27, said the commission had received complaints from Mbo-I Kamiti shareholders alleging that the Registrar General’s Office has over the years interfered with the running of the company occasioning massive financial losses and disputes that have resulted in conflicts.
The report also alleged that since 1980s, the Registrar has presided over irregular elections and allowed voted-out office bearers to continue running affairs of the company and watched over forgery of shareholders registers which has seen the number rise from 6,000 in 2006 to the current 14,000 members.
Further, officials are said to have over the years conspired with the Registrar to cover-up siphoning of funds and to unlawfully remove bona fide shareholders with non-shareholders as well as facilitating loss of millions.
“Between 1974 and 1979, the Register General’s Office is said to have allowed the then City Council of Nairobi to construct blocks of houses of the company’s land in Loresho without approval of the shareholders.
The houses have since allegedly been grabbed by the company directors,” Kanyeki told DCI.