Economy
Court freezes land, car of ex-KRA staff over Sh278.4m unexplained wealth
Tuesday May 30 2023
The Court of Appeal has upheld a decision by the High Court declaring changes to the Merchant Shipping Act unconstitutional. FILE PHOTO | NMG
The High Court has allowed an application by the anti-graft body freezing properties worth Sh278 million belonging to a former Kenya Revenue Authority (KRA) suspected to have been acquired through bribes and kickbacks.
Justice Esther Maina allowed the application by Ethics and Anti-Corruption Commission, freezing the properties belonging to Mr Jeremiah Kamau Kinyua, pending the application of forfeiture of the assets to the state.
The anti-graft body obtained temporary orders freezing the land, in Nairobi, Kitengela and Laikipia, as well as money in MPesa and bank accounts, in May last year.
The agency said Mr Kinyua and his companies have in the past engaged in schemes to conceal the assets in corporate entities.
The EACC said there is an urgent need to prohibit any dealings whatsoever with the said assets to prevent them from being wasted as it would render the forfeiture proceedings useless.
“The Defendants have not shown to this court, the inconvenience suffered that would outweigh the impending risk of loss or dissipation of the suit properties,” the judge said adding that in the circumstances, it was right to grant the injunction in favour of EACC.
The EACC filed the case last year stating that Mr Kinyua is suspected to have acquired the property through bribes. This is after accumulating assets worth Sh359.5 million.
Mr Kinyua later satisfactorily explained how he acquired properties worth Sh83 million leaving others worth Sh278.4 million as unexplained assets.
The properties include plots in Nairobi and three others in Kitengela all worth Sh68 million. Properties registered in the name of Bestline Enterprises, in Laikipia County with valued at Sh18 million.
Also frozen are four plots in Ruiru, Kiambu County valued at Sh95 million, a Toyota Prado, SH500,000 and Yuan 15,648.00, which was seized from his house on June 9, 2021.
Mr Kinyua initially worked at KRA for seven years before he resigned in March 2021 and EACC said his net salary for the period was Sh11.6 million.
According to EACC, Mr Kinyua’s explanation was inadequate and the assets should be forfeited to the government.
The commission said Mr Kinyua was the ultimate beneficiary of the funds acquired as a result of abuse of office and unethical conduct and the circuitous transfer of funds was intended to conceal its illegitimate sources.
Court documents show that Mr Kinyua was employed at the KRA as a graduate trainee on January 28, 2005. He was promoted to supervisor in the domestic taxes department, where he worked until he resigned.
But in just seven years, he acquired 19 parcels of land in Ruiru, Kiambu County, Laikipia and Nairobi.
The commission says Mr Kinyua received huge and successive cash deposits to his bank accounts and M-Pesa messages, which he failed to satisfactorily demonstrate the source, leading to the conclusion that the money was bribes obtained while in office.
