CS Echesa wants Mudavadi investigated for ‘stealing’ Sh380million at Mumias Sugar Company

Sports Cabinet Secretary Rashid Echesa. He wants Mudavadi probed over loss of Sh380million at Mumias Sugar Company - Photo/Andrew Ombuni/County Guardian News


By CGN Reporter

Sports Cabinet Secretary Rashid Echesa wants Amani National Congress (ANC) leader Musalia Mudavadi to be investigated over the loss of Sh380million at Mumias Sugar Company.

Mr Echesa has told the Director of Criminal Investigations (DCI) George Kinoti and sleuths from the Ethics Anti – Corruption Commission (EACC) to investigate Mudavadi and ensure he is prosecuted.

The CS said he has tangible evidence which he is willing to table and nail Mudavadi over the loss of Sh380million.

Echesa spoke at Navakholo grounds during a football tournament organized by area MP Emmanuel Wangwe.

Echesa claimed that First Assurance Company, where Mudavadi is said to be a main shareholder and director pocketed Sh380 between 2014 – 2017 for services that were not offered to Mumias Sugar Company.

He said after a thorough audit to the miller’s books of accounts, they established that Mudavadi’s insurance company was contracted in 2014 to provide the same services Kenindia Assurance Company Ltd been contracted to offer.

“How came First Assurance Company was contracted to offer insurance services to Mumias sugar and they had Kenindia Assurance Company. Mudavadi was paid for the services not provided for and he must face the full arm of the law, “said Echesa.

He said Mudavadi used his position to influence said payments at the expense of cane farmers who are yet to be paid for the canes they delivered to Mumias sugar since 2015.

Mumias Sugar has a debt of at least Sh600 million owed to cane farmers who delivered their cane to the firm since 2015.

“We want the DCI and EACC to swing into action and have carryout thorough investigations over the loss of Sh380million paid to Mudavadi’s company. President Uhuru Kenyatta’s government is committed to fighting corruption and misuse of public funds and Mudavadi is not an exception, “said CS Echesa.

The Sports CS said Mudavadi’s recent opposition to the formation of a sugar task force under the chairmanship of Agriculture CS Mwangi Kiunjuri and Kakamega Governor Wycliffe Oparanya, was due to the fear that the report will expose his dirty dealings at the sugar miller.

“Mudavadi wants a judicial commission of inquiry to be formed so as to shied himself from being prosecuted as he knows the task force will ultimately expose him. We want cane farmers paid and he won’t stand in the way of farmers,” said Echesa.

Uhuru launched the task force to look onto ways of revamping the sugar cane sector. It’s expected to give a report early next year and more so a list of genuine farmers who will be paid Sh2.6billion in arrears.

Mudavadi is on record for having opposed the formation of the sugar taskforce formed by Uhuru and instead urged the government to form a judicial commission of inquiry.

Mudavadi argued out that the government was not committed at ensuring that ailing sugar sector is not revived fully.

“The government has been forming task force committees but their findings have never been made public and even their recommendations are ignored. We don’t have faith in the new task force sugar,”

But ANC leader Secretary General, Barack Muluka dismissed CS Echesa’s sentiments as mere political rhetoric.

“Mudavadi can’t stoop low and answer to CS Echesa’s political gimmicks. The country has proper investigative machineries and Echesa is not one of them. Let him stick to his CS work,” said Muluka.

Muluka said only the DCI and EACC have the capacity to investigate and recommend for the prosecution of Mudavadi in case of they deem it necessary, saying a CS role is not recommending for the prosecution of individuals suspected of wrong doing.

Echesa’s sentiments came barely 48 hours after top city lawyers, Tom Ojienda and Peter Wanyama,were on Friday arrested over the ongoing probe into troubled Mumias Sugar Company where it’s alleged more than Sh200 million was lost in suspected corrupt deals at the firm.

Ojienda was arrested outside Barclays Plaza in the Nairobi Central Business District (CBD) whereas Wanyama was picked from Ngong town.

A politician and a Court of Appeal judge are also being sought over the issue. The judge is said to have handled Mumias issues when he was in private practice.