Former KNTC CEO Mutua and Procurement Chief Arrested in 16 Billion Shillings Investigation

Two former senior officials of the Kenya National Trading Corporation (KNTC) were arrested on Monday, July 29, in connection with an investigation into the 2023 food shipments.

They included former CEO Pamela Mutua and procurement, supply chain and logistics manager Amos Juma Sikuku.

Both were taken to the Criminal Investigation Department, processed and then arrested.

They spent the nights in Muthaiga police custody, awaiting their scheduled trial.

Police said the Office of the Director of Public Prosecutions authorized the filing of various charges against the two people, including abuse of office.

They are accused of offences related to a company linked to Communications Authority chairwoman Mary Wambui.

The indictment alleges that Mutua failed to comply with public procurement regulations.

“On 5th December 2022 in the Republic of Kenya, being the Managing Director and Accounting Officer of Kenya National Trading Corporation, you wilfully failed to comply with the Public Procurement Law, namely Regulation 90 (1) (b) of the Public Procurement and Disposal of Assets Regulations 2020 by failing to report the same to the Public Procurement Regulatory Authority upon the issuance of the Notice of Award of Contract to Purma Holdings Limited.”

She is also charged with three counts of wilful failure to comply with applicable public procurement regulations, contrary to the Anti-Corruption and Economic Crimes Act 2006.

“On 5th December 2022 in the Republic of Kenya, being the Managing Director and Accounting Officer of the Kenya National Trading Corporation, you wilfully failed to comply with the public procurement regulations, namely the Public Procurement and Disposal of Assets Regulation 90 (1) (b) of 2020“failure to report to the Public Procurement Regulatory Office after issuing a notification of awarding the contract to Multi Commerce FZC” – we read in the indictment.

The remaining allegations relate to notifying Standard Petroleum LLC, Makram Imports & Exports of the contract award and failing to obtain required approvals before beginning the purchase of bulk goods.

Sikuku is charged with abuse of power under the Penal Code.

“On November 16, 2022, in the Republic of Kenya, as Supply Chain and Logistics Manager, you arbitrarily issued a professional opinion

“in a tender for the purchase of bulk goods, which violated the interests and rights of the Republic,” we read in the charges.

The decision comes after months of investigations into the supply of rice and other foodstuffs to KNTC.

Other food products include cooking oil, corn and sugar.

Maize imports cost the state 3.3 billion shillings and rice 13.2 billion shillings.

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