Kimunya: Why I won't resign over hotel saga

Finance minister Amos Kimunya addresses a rally at Miharati Stadium in his Kipipiri constituency on Sunday.

Embattled Finance minister Amos Kimunya declared Sunday he would only resign if an independent investigation team appointed by President Mwai Kibaki found him guilty of wrong-doing in the controversial sale of Grand Regency Hotel.

Finance minister Amos Kimunya addresses a rally at Miharati Stadium in his Kipipiri constituency on Sunday. Photo/JOSEPH KIHERI

Mr Kimunya maintained he followed procedure in the transaction and declared: “I would rather die than resign.’’

He added: “I want the President to get the best investigators in the world to come and investigate me and if the report indicts me, I am not only going to resign from the Ministry of Finance but also as MP for Kipipiri.”

Mr Kimunya was last week accused by MPs of not following the law in selling the hotel, leading to a vote of no confidence against him in Parliament.

Public property

The MPs, in their motion of no confidence in the minister, also said Mr Kimunya conducted the initial public offering (IPO) of Safaricom in total disregard of provisions of the Public Procurement and Disposal Act and related regulations governing the sale and disposal of public property.

They also accused the minister of not adhering to the provisions of the Privatisation Act in the sale of Safaricom shares.

But Mr Kimunya said he would only resign along with Prime Minister Raila Odinga, Attorney General Amos Wako, Lands minister James Orengo, and Kenya Anti-Corruption Commission director Aaron Ringera, who, he said, were also privy to the hotel sale details.

In a strong defence he mounted from his Kipipiri constituency in the presence of Deputy Prime Minister Uhuru Kenyatta and four MPs, Mr Kimunya described the onslaught against him as a political witch-hunt.

He said Central Bank governor Njuguna Ndung’u, National Security Intelligence Service boss Michael Gichangi and himself were being fought because of their efforts to stop schemes by politicians who wanted to bring in money illegally from abroad and others who wanted him to pay pending bills to cowboy contractors.

Other politicians, he said, were unhappy because he had stopped their plans to start forex bureaux and banks for ‘‘monkey business’.’

The Finance minister accused Mr Odinga and Mr Orengo of dishonesty. He said Mr Odinga was informed about the sale of the hotel in April and approved it. Even Mr Orengo knew about the sale, he said.

Mr Kimunya also claimed that the Prime Minister had assured him  that the no-confidence motion against him would be postponed so that he (PM) could address Parliament on the issue.

However, he said, he was shocked when Government Chief Whip George Thuo called him during his meeting with the PM to inform him that debate on the motion was about to start.

Never turned up

“I told the PM— as our coordinator (of Government Business)  to accompany me to Parliament but he said he would follow in two minutes. He never turned up,’’ said Mr Kimunya.

The minister also claimed that the PM passed information he had given him on the sale to Gem MP and deputy Government Chief Whip Jakoyo Midiwo, who reportedly gave it to the parliamentary committee on Finance.

“I am prepared to support the PM if he is going to support me. But not in a situation where when I give him information  he passes it over to Jakoyo Midiwo,’’ he added.

However, Mr Odinga Sunday termed Mr Kimunya’s calls that he also steps aside as outrageous.

Through ODM spokesman Salim Lone, the PM said he was one of the first officials to demand answers on the sale of the hotel.

Mr Lone said the PM wrote to the KACC seeking an explanation over the controversial sale, before he formed an investigative committee that found the sale fraudulent.

He added: “To blame the PM, who is keen on resolving this issue does not hold any water.”

Mr Lone said the Prime Minister would Monday hold a news conference on the matter.

Mr Kimunya also called for Mr Orengo’s resignation because he was aware that the hotel had been sold for Sh2.9 billion contrary to his allegations that it had been disposed of secretly for Sh1.8 billion.

“If I should step aside on account that I was misled by CBK officers, which is under my ministry, Mr Orengo should also do the same because his officers were involved in the sale transaction,”  the minister said.

Mr Kimunya also asked the AG to explain to Kenyans why he had failed to recover the hotel from businessman Kamlesh Pattni since 1993.

He said that Mr Wako did not have the credibility to be in the sub-committee investigating the sale.

He also dismissed as ridiculous accusations that the Safaricom IPO had been conducted illegally, saying it had been billed as the most successful across the world this year.

Mr Kenyatta also called for an independent committee to investigate the matter.

He argued that none of Mr Kimunya’s critics had provided evidence showing that the hotel had been disposed of irregularly.

“We are tired of people just making noise and not giving us any tangible information on the matter,”  Mr Kenyatta said.

The Deputy PM  also called on his Cabinet colleagues to be careful about the information they were giving the public.

It was not right for reports meant for Government deliberation to reach the media before being tabled in Cabinet, he said.

Other MPs who attended the Kipipiri rally echoed Mr Kenyatta’s sentiments, arguing that it was unfair for MPs to censure the minister without enough evidence.

The MPs said Mr Kimunya was being attacked politically because of his efforts in fighting corruption.

Nakuru Town MP Lee Kinyanjui said the Prime Minister must also provide answers to questions on the sale, since his duty was to supervise and coordinate Cabinet affairs.

Juja MP George Thuo, who is also the Government Chief Whip said MPs should have given more evidence against the minister before voting against him.

Mr Thuo noted that Kenyans did not have faith in the committee selected by Mr Odinga to investigate the issue because it leaked out its report before it was presented to the Cabinet.

“We are therefore asking President Kibaki to appoint an independent committee to investigate the whole saga,”  said Mr Thuo.

Local leaders in Kipipiri also made scathing attacks on MPs who have been calling for the sacking or resignation of the embattled minister.

They further revisited the issue of post-election violence that led to displacement of people. They regretted that the issue had now taken a back seat.

Former Kipipiri MP Kabingu Muregi noted that the resignation or sacking of Mr Kimunya would be a blow to the Kipipiri constituency and the entire country.

Crowds carrying banners with pro-Kimunya slogans braved afternoon showers that pounded the rally held in Miharati.

The main message displayed across the venue called on the minister to ignore calls of his resignation.

Elsewhere, Education minister Sam Ongeri said the Grand Regency saga and the pressure to get Mr Kimunya out of office was part of the Kibaki succession race politics.

And Water minister Charity Ngilu called for the dissolution of the grand coalition Government if President Kibaki does not sack Mr Kimunya.

Head of the Anglican Church Benjamin Nzimbi asked Mr Kimunya to respect the decision taken by his parliamentary colleagues and step aside to pave way for investigations into the sale.

Reports by Oliver Mathenge, Mugo Njeru and Kenneth Ogosia