This archive report was first published on 26 June 2020.
Maize Scandal: Ksh 297 Million Shared in Two Days ¶
On March 15, 2013, Justice Mabeya made a landmark ruling in the maize scandal case, which saw the taxpayer losing Ksh 297 million for the purchase of 40,000 metric tonnes of maize in 2004 that were never bought.
According to the Ethics and Anti-Corruption Commission (EACC), the money was shared between Erad General Suppliers, with the accused directors pocketing Ksh 90 million.
Law firms, including Ahmed Nassir and Company Limited, were paid Ksh 40 million, while Soita and Saende Advocates pocketed Ksh 34 million. Former Deputy Chief Justice Nancy Barasa made away with Ksh 5 million in legal fees, with the rest of the money being withdrawn using cheques.
The EACC further revealed that funds in NCPB's accounts at various Kenya Commercial Bank branches throughout the county were moved to KCB A/C No. 1107165679 held at Kencom Branch and seized through a garnishee order.
On March 19, 2013, an agency notice placed by the Kenya Revenue Authority to recover undeclared tax and penalties from Erad was discharged, and the sum of Kshs. 297,389,505.00 was transferred to A/C No. 0948421941 maintained at Barclays Bank of Kenya in the name of Soita and Saende Advocates Client Account.
At the time of the transfer, the said account balance was only Kshs. 3,205.60.
On March 20 and 21, 2013, the funds were shared among the directors and lawyers as follows:
- Nancy Barasa (Former Deputy Chief Justice) - Ksh 5 million (Legal Fees)
- Ahmednassir & Abdikadir & Co. Advocates - Ksh 35 million (Legal Fees)
- Cheque Withdrawal (beneficiary not stated) - Ksh 6 million (Not stated)
- Soita & Saende Advocates - Ksh 2 million (Legal Fees)
- Soita & Saende Advocates - Ksh 12 million (Legal Fees)
- Soita & Saende Advocates - Ksh 10 million (Legal Fees)
- Cheque Withdrawal (beneficiary not stated) - Ksh 5 million (Not stated)
- Soita & Saende Advocates - Ksh 112 million (Transfer of client shareholder)
- Soita & Saende Advocates - Ksh 10 million (Legal Fees)
- Ahmednassir & Abdikadir & Co. Advocates - Ksh 5 million (Legal fees)
- Grace Sarapay Wakhungu - Ksh 40 million (Transfer of client shareholder)
- John Koyi Waluke - Ksh 50 million (Transfer of client shareholder)
- Cheque Withdrawal (beneficiary not stated) - Ksh 5 million (Not stated)
- Fund transfer – Soita & Saende Advocates - Ksh 320,000.00 (Not stated)
On June 26, 2020, Sirisia Member of Parliament John Waluke was fined over Ksh 700 million in connection with the National Cereals and Produce Board (NCPB) maize scandal.
Waluke was convicted alongside Grace Wakhungu Wakhungu, the mother of former Environment Cabinet Secretary Judi Wakhungu. They will each serve seven years in prison if they fail to pay the money.
