This archive report was first published on 23 August 2020.
On August 24, 2020, the Directorate of Criminal Investigations (DCI) summoned four top officials at the Kenya Tea Development Agency (KTDA) Holdings in connection with a case of conspiracy to commit fraud.
The officials, who were issued summon letters, include CEO Lerionka Tiampati, Head of Legal Dr John K. Omanga, Head of Procurement Brown M. Kanampiu, and the Head of Finance Simeon Rugut.
According to the letter, the DCI informed the officials that he was compiling a case against them and that they were required to present themselves at the DCI headquarters along Kiambu Road for questioning.
CEO Lerionka Tiampati has been at the helm of the private holding company owned by over 600,000 smallholder tea farmers for over a decade.
He has been in the news for the wrong reasons in the past, including an incident in October 2019 where he brushed off protests by farmers over what they deemed as unacceptable bonuses.
Statistics indicate that more than 60% of tea dollars are deducted from the farmer’s produce to run factories, warehouses, and other overhead costs.
For the period in question (2018), Kenya sold 474,861,590 kilos worth Ksh140 billion, at the average price of Ksh296 per kilo.
However, bonuses came in at less than half of what farmers received in the previous year, with the average bonus recorded as Ksh15 per kilo.
