Chepkonga, Kinisu clash on resignation date discrepancy

August 25, 2016 7:32 pm
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Justice and Legal Affairs Committee Chairman Samuel Chepkonga accused Kinisu of providing documents showing he resigned from the company in 2008 yet there are others showing he attended a board meeting in April this year/CFM NEWS
Justice and Legal Affairs Committee Chairman Samuel Chepkonga accused Kinisu of providing documents showing he resigned from the company in 2008 yet there are others showing he attended a board meeting in April this year/CFM NEWS

, NAIROBI, Kenya, Aug 25 – Ethics and Anti-Corruption Commission (EACC) Chairman Phillip Kinisu found himself in trouble with MPs when they accused him of misleading them on the year he resigned from his family company Esaki Limited.

Justice and Legal Affairs Committee Chairman Samuel Chepkonga accused Kinisu of providing documents showing he resigned from the company in 2008 yet there are others showing he attended a board meeting in April this year.

Chepkonga said when Kinisu alongside his fellow commissioners appeared before the committee on August 5, he misled the MPs that he had resigned as director of Esaki Limited in 2008, yet he resigned in April 2016.

This was despite EACC commissioners resolving that each suspect in the Sh791million scandal disclose any conflict of interest in the fight against graft upon assuming office.

Chepkonga said his failure puts his integrity into question.

Kinisu however defended himself saying he did not have full documents when he appeared before the House Committee with fellow commissioners.

The EACC chairman insisted he found no conflict of interest with him being at the helm of the commission and his family firm’s involvement in supplies at government agencies – including the National Youth Service which is under active investigation.

The EACC chairman defended himself saying his wife and daughter were managing the firm after his resignation.

It later emerged that Kinisu was still the majority shareholder in the company (three shares) alongside his wife and daughter who own a share each.

Kinisu told the committee that he is still an account signatory but explained this is because of internal management mechanism used in the family-owned firm.

This perceived conflict of interest prompted four EACC Commissioners to call for his resignation after it emerged Esaki Limited, a company associated was paid Sh35.4 million to supply bore hole materials to the National Youth Service (NYS) between October 2014 and November 2015.

The firm also received payments from the government amounting to Sh246 million between March 2015 and June this year, but the chairman maintains that the cash did not come from NYS.

MPs questioned Kinisu on whether he did not find a conflict in his company doing business with government agencies, some of which the commission is supposed to investigate.

Kinisu told the committee that he had overlooked the requirement that he should have declared his interest during his vetting early this year.

He was appearing before the committee chaired by Ainabkoi MP Samuel Chepkong’a after a Nairobi lawyer petitioned the National Assembly seeking his removal from office on the non-disclosure of interest regarding Esaki’s business dealings with NYS.

Albert Ondieki who appeared before the parliamentarians on Wednesday reckons that Kinisu’s position as chairperson is untenable given the anti-graft agency is investigating the NYS matter where the government lost up to Sh1.8 billion through fake contracts.

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