KTDA Bosses Issue Panic Statement Amidst Wave of Scandals

LEFT: KTDA Board Chairman David Ichoho RIGHT: KTDA CEO Wilson Muthaura Following our extensive coverage of the stinking rot at the Kenya Tea Development Agency (KTDA) there finally seems to be some light at the end of the tunnel. In recent weeks, we have highlighted a myriad of mega evils at the agency, ranging from mega financial scams, and legal troubles, to shocking sexual scandals involving the top hierarchy. Sex Scandals, Mega Scams Rock Peter Munya Puppet and Populist KTDA Management KTDA CEO Muthaura Declares War On The Court And Former Officials Alleging Backing From Ruto, Linturi Puzzle Of Used Condoms In KTDA Garbage Bins Tea Board Of Kenya Ag. CEO Peris Mudida Dragged Into KTDA’s Scandals KTDA Boss Linked To Corruption And Looting Of Funds At Kapkoros Tea Factory Out of panic, the agency’s besieged bosses on Friday issued a statement in a poor attempt to defend themselves from the earth-shattering reports, including the latest controversy of a Sh18.2 billion loan that was used to pay an early bonus to farmers ahead of last year’s general election in August. How Politically Motivated KTDA Directors Irregularly Approved Sh18bn Bonus To Woo Farmers In its shallow communiqué, KTDA failed to address the elephant in the room. The CEO Wilson Muthaura and Board Chairman David Ichoho failed to explain their politically motivated decision to borrow the illegal tea bonus loans and those responsible for the heinous crime; all just to swing votes in favor of Azimio candidate Raila Odinga. “KTDA Holdings takes great exception at the malignment of the organization and its management staff which is occasioned by the continued publication of the libellous and unfounded claims. To this effect, KTDA is seeking legal redress on the issues,” the statement read in part. This comes just days after officials in the Ministry of Agriculture confirmed they are looking into the circumstances under which the agency borrowed the hefty sum. Speaking on the latest development, Cabinet Secretary (CS) Mithika Linturi blamed the previous administration for coercing KTDA directors to take the loan, forgetting that his predecessor Peter Munya’s current puppet populist administration is the one responsible for the scandal. According to Linturi, Munya’s move was an attempt to influence farmers into voting for his preferred presidential candidate from the Azimio camp. Records show that KTDA mortgaged its shares worth Sh18.2 billion to pay the bonus. The money was borrowed from multiple banks that included NCBA and Standard Chartered Bank Kenya. The loan was guaranteed by the KTDA Management Service, a subsidiary of KTDA Holdings. Some of its directors include Wilson Muthaura, Dorcas Mugure Mwangi, Julius Misuko Onguso, Mathews Ouma Odero and Simeon Kiprotich Rugutt. KTDA normally closes its books on June 30 with the bonus payment to farmers approved in September ahead of disbursement in October, but the 2021/2022 bonus was paid at the beginning of July. The books had not been closed and audited by the time the company paid the bonus. The disclosure on the debenture was recorded on September 2, 2022, by the registrar of companies after the company had paid the bonus. The loan has subjected farmers to extra costs as they are paying interest on the borrowed amount through their respective factories. For instance, farmers in Chinga Tea Factory in Nyeri had to pay close to Sh3 million in interest from the Sh200 million that they had received to pay an early bonus, according to the management. https://nyakundireport.com/nothing-changed-at-ktda-as-tea-sector-now-riddled-with-corruption/