This archive report was first published on 1 September 2019.
Published on September 1, 2019, the Lake Basin Development Authority mall in Kisumu has been at the centre of a protracted graft probe by the Ethics and Anti-Corruption Commission (EACC) for over two years.
The mall's management had been counting on the Kenya Revenue Authority (KRA) to occupy the complex, which would have increased traffic and attracted more clients. However, KRA has now pulled out of the deal, leaving the mall's management facing tough questions over their failure to find tenants.
LBDA chairman Odoyo Owidi and acting managing director Raymond Omollo confirmed that KRA had withdrawn from the deal, which was in its final stages. The duo spoke as the Senate Committee on Devolution toured the mall to investigate the reasons behind the mall's struggles and the fate of a loan taken to construct it.
“KRA was to come here but the deal is almost off. We held meetings with government officials but we do not know what has happened,” said Owidi.
The mall's management has previously blamed the EACC and the Kenya National Highway Authority for the mall's struggles, citing the incomplete expansion of the Kisumu-Kakamega Road as a major obstacle. However, LBDA chairman Odoyo Owidi has also stated that no significant amount of money was lost, and that the mall should be given a clean bill of health.
