Okungu charged with abuse of office

Suspended Kenya Pipeline Company managing director George Okungu has been charged with unlawfully disposing of company property worth over Sh68 million.

Mr Okungu appeared before Anti-Corruption Court magistrate Cecilia Githua and denied the five counts of neglect of duty and unlawful disposal of company property.

He arrived at the law courts at 2 pm waiting to be charged.

However, the magistrate came to court at 3.15 pm after lawyers had waited for more than half an hour.

Immediately the magistrate finished with the charges against Mr Okungu, two uniformed police men who were on standby handcuffed the former MD and whisked him to the High Court basement cells.

Mr Okungu will remain in remand until he manages to deposit in court Sh2 million as bond or cash bail of Sh1 million.

Before the magistrate came in, he chatted with a group of friends and relatives who had accompanied him to court to offer their support.

The charge sheet stated that Mr Okungu and the company secretary failed to comply with the guidelines of the board of directors given to them on October 5, 2005.

The said guidelines were in relation to the disposal of the company’s residential houses to its staff members.

It is alleged that Mr Okungu and Ms Mary Kiptui disposed the houses on or about October 6, 2006 without approval from the Permanent Secretary in the Ministry of Energy.

Alternatively, the duo allegedly neglected their duty while disposing the said houses without seeking approval from the PS.

On the second count, Mr Okungu and Ms Kiptui allegedly disposed of a house to a Mr Peter Manono Mecha at Sh15,750,000 without obtaining valuation of the house.

They allegedly committed the offence on or about October 6, 2006 at KPC’s headquarters at Kenpipe Plaza, Industrial Area. This, the charge sheet said, was done contrary to the guidelines issued by the Company’s Board of Directors on October 5, 2006.

The two also have an alternative count to the second charge of neglect of duty while selling the said house to Mr Mecha.

The two were also accused of selling a house to Mr Focus Mwawasi Mwangoka  at Sh21 million without obtaining a valuation report.

The charge sheet states that they sold the house owned by KPC on October 6, 2006. They also face an alternative count of neglect of duty on the third charge.

Another charge is that the former MD bought one of the houses for himself at Sh16 million without a valuation report. The house was sold on the same day.

However Ms Kiptui did not take plea as she is said to be hospitalised.

Her lawyer, Mr Enonda, told the court that his client fell ill on Tuesday and was taken to hospital and therefore could not appear in court.

Mr Enonda sought for an order to have the taking of her plea deferred to Monday.

The magistrate, after hearing Mr Enonda’s application, issued summons against Ms Kiptui requiring her to attend court on Monday, when the case will come up for mention.

Mr Okungu was sent on compulsory leave by President Kibaki in January to pave way for investigation into the Sh7.6 billion Triton oil scandal.

Triton investigations by police and KACC are centred round allegations of irregular release of fuel by KPC.