Migori Governor Okoth Obado will now carry his own cross this is after EACC re-opened his scandal case in which he is alleged to have siphoned funds meant for devolution in Migori County.
The County Government of Migori irregularly paid close to Sh2 billion to seven traders said to be proxies of Governor Okoth Obado in three years, a court has heard.
Documents filed in court by the Ethics and Anti-Corruption Commission showed that the seven traders who include six members from one family registered 16 briefcase companies with the sole purpose of siphoning public funds meant for devolution.
The revelation came as Lady Justice Hedwig Ong’udi extended orders barring the seven, Jared Oluoch Kwaga, his wife Christine Akinyi, his brothers Joram Otieno and Patroba Otieno, his mother Penina Auma and sister-in-law Carolyne Anyango from disposing their multi-million shillings assets.
According to EACC investigator Anne Murigih, the companies were inactive since being formed between 2014 and 2016 with zero balances in their accounts only to start amassing the huge amounts when they started trading with the county government.
“Their bank accounts were dormant until November 2016 with nil balances which is a characteristic of a briefcase company. But in a span of three years, the newly registered companies transacted a total of Sh1,971,179,180 from Migori County which amount is unexplained,” said Murigih.
But the seven traders denied being the governor’s proxies and defended their businesses with the county government stating that their properties were legally acquired and fully documented in publicly available records.
Oluoch, who the EACC claims was the architect of the scandal stated in his affidavit that they have not accumulated illegal wealth and that all services they rendered can be verified.
“We are not proxies of Mr Obado and neither are we his business associates. We run several businesses in the country but none of them belongs to Obado and we also do not hold any shares in trust for him in any of our registered companies,” swore Oluoch.
He also denied claims that they had stashed some of the loot in offshore accounts in China, stating that the money was meant to import some of the materials they required in performing the contracts entered with Migori County Government.
Ms Murigih however in another affidavit insisted that the six are Mr Obado’s proxies and that it is through the connection that they fraudulently acquired the funds.
“There was a kick-back scheme through wire transfers to county government officials including the governor who benefited directly through his children to the tune of Sh38 million,” she swore.
EACC last year obtained orders stopping the seven from from selling or transferring their properties valued at Sh338 million. The family’s 65 properties include four maisonettes in Nairobi, an apartment in Nairobi and several tracks of land in Migori town.