This archive report was first published on 28 June 2020.
Water Cabinet Secretary Sicily Kariuki has intervened in a row at the Water Sector Trust Fund (WSTF), cancelling the suspension of CEO Ismail Shaiye. The suspension was issued by board chairman Patrick Kokonya on June 23, 2020, but was cancelled just 48 hours later.
According to sources, the CS questioned the motive behind the boardroom coup, stating that any resolution made in the purported special meeting was null and void. She also clarified that the substantive CEO remains in office until advised otherwise.
The row comes as reports indicate that majority of board members have recommended the renewal of the CEO's contract, which elapses in November this year. However, Kokonya insists that he followed the law while suspending the CEO, citing a circular from the Head of Public Service that the CEO is supposed to serve for two terms.
On Tuesday, Kokonya is said to have summoned staff and introduced Willis Mbai, the chief manager - investments and programmes, as acting CEO. However, the move was met with resistance from Shaiye, who was blocked by police officers from accessing his office on Thursday afternoon.
The row is said to be linked to ongoing investigations by the Ethics and Anti-Corruption Commission (EACC) of suspected graft at the fund. According to documents in our possession, the EACC is investigating a board member over suspect mileage claims, with allegations that the board member was paid Sh10 million in one year in mileage claims for travelling from Western Kenya to Nairobi for board meetings.
