High Court Grants EACC Orders To Recover Ksh 26million From The County Assembly Of Homabay
The Mt Kenya Times 
South Nyanza EACC Regional Manager, Enock Otiku addressing the press said The Ethics and anti-corruption Commission ( EACC) is set to recover Ksh. 26 m worth of assets acquired fraudulently by Homabay County Assembly photo /Elizabeth Angira
By Elizabeth Angira
Worth Noting:
- “The Firm was not prequalified to offer services and goods to the County Assembly of Homabay. It is a case of conflict of interest” Otiku said, stressing, the transactions of the funds were traced in the Firm’s account.
- The Manager noted the two will face criminal charges after it has recovered the Assets, adding, they will pay 12 percent interest and the cost of the suit.
- He said if the duo is found culpable in the criminal case, they will be convicted, fined or jailed, emphasizing the Commission is also pursuing 19 county Executive Committee Members in Homabay for various crimes.
The Ethics and anti-corruption Commission (EACC) is set to recover Ksh. 26 m worth of assets acquired fraudulently by Homabay County Assembly Clerk, Bob Kephas Otieno through Nyangume Enterprises owned by his wife, Everlyne Ogutu.
This was after the Judgement was delivered Thursday, 2 March, 2023 by Lady Justice Esther Maina, sitting in Milimani Law Courts.
South Nyanza EACC Regional Manager, Enock Otiku covering Kisii, Homabay, Migori and Nyamira counties said the Commission said the recovery follows a court verdict in favour of the Commission, adding, the case started in 2018.
The verdict says “The plaintiff therefore contends that the said payments of Ksh. 26, 272, 460 was fraudulent, illegal, unlawful and against public policy”
Addressing the press at the Commission’s headquarters in Kisii town, the Manager said the wife was working as an Administrator at Marindi Health Centre and doubled up as the proprietor of the Enterprise.
“The Firm was not prequalified to offer services and goods to the County Assembly of Homabay. It is a case of conflict of interest” Otiku said, stressing, the transactions of the funds were traced in the Firm’s account.
The Manager noted the two will face criminal charges after it has recovered the Assets, adding, they will pay 12 percent interest and the cost of the suit.
He said if the duo is found culpable in the criminal case, they will be convicted, fined or jailed, emphasizing the Commission is also pursuing 19 county Executive Committee Members in Homabay for various crimes.
“The persons earned multiple salaries while others worked in other counties. The Commission targets to recover Ksh. 42 m earned through fraud” Otiku asserted.
The Manager said the Commission is embracing Alternative Dispute Resolution ( ADR) to recover the Assets fraudulently acquired.
In ADR, parties involved resolve the matter through mediation , arbitration and the process is less formal.
Through its Advocate Caroline Wairimu Kamau, EACC had argued before the Court that the former Clerk, in abuse of his position and in breach of public trust, weaved a scheme to, jointly with his wife, defraud the County assembly of Homabay and proceeded to illegally and fraudulently authorize payment of Kes. 26,272,460 to the wife’s company for no work done.
The Commission’s investigations established that ;
That Bob Kephas Otieno fraudulently and knowingly used his position as Assembly Clerk to authorize payments to his wife for no work done.
Evelyne Ogutu, the Clerk’s wife, fraudulently and unlawfully acquired public property by receiving payments to the tune of Kes. 26,272,460 from the Homabay County Assembly for no work done.
The former Clerk and his wife colluded to illegally and fraudulently acquire Kes. 26,272,460 from the Homabay County Assembly.
The Clerk’s wife, trading as Nyangume Enterprises, was never prequalified to offer any services or goods to the County Assembly of Homa Bay.
Despite that, the bank account of the Clerk’s wife received Kes. 26,272,460 directly from the County Assembly of Homa Bay within a period of six months for no work done or services rendered.
The Clerk’s wife was the sole account holder/signatory for the Nyangume Enterprise bank account which received the stolen funds, some of which were subsequently transferred to the Clerk.
Despite the Commission issuing a demand to the former Clerk and his wife to pay back the stolen amount, the couple refused, failed and/or ignored to remit the payments necessitating the filing a recovery suit in 2018.
In her judgement, Justice Esther Maina ordered the former Clerk and his wife to remit the said payments to EACC as follows:
EACC welcomes the judgement which comes in the wake of increasing cases of embezzlement of public funds involving public officials in cahoots with family members, relatives and associates, especially in county governments.
The Homabay case is among various recovery suits worth over Kes.40 Billion that are currently active in various courts across the country where EACC seeks to recover corruptly acquired assets for public benefit.
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