The anti-graft agency has disclosed that Kenya still owes one of the Anglo Leasing firms Sh134.3 million for security goods delivered and not paid for.
Documents tabled in court on Thursday show the Ethics and Anti-Corruption Authority (EACC) revealed that Sound Day Corporation delivered security equipment worth 1.15 million euros (Sh134.3 million) in October 2004.
The firm had secured a contract to supply of security equipment in a deal that was backed with Sh4 billion promissory notes, which then Attorney General Amos Wako said could not be revoked.
“When it comes to delivery of the security equipment under the modernization contract, there exists documentary as well as physical evidence of the equipment delivered,” notes the EACC, adding payment is yet to be made.
Court papers show that the firm had supplied security equipment worth $8 million (Sh824 million). This could expose the State to a fresh compensation suit.
President Uhuru Kenyatta was forced in 2014 to authorise the payment of $16.4 million (Sh1.7 billion) to two companies, which had secured court orders in Geneva and London requiring the government to settle unpaid debts, even though they had not delivered contracted goods and services. The Sh1.7 billion contracts had been issued and later cancelled.
Mr Wako earlier told the court that each promissory note offered to Sound Day constituted an unconditional promise to pay.
A promissory note is a written pledge by one party to pay defined money, either on demand or at a specified future date.