Auditor Edward Ouko survives graft probe

Auditor-General Edward Ouko speaks before National Assembly's Budget and Appropriations Committee on October 13, 2016. He has been cleared of graft charges. PHOTO | JEFF ANGOTE | NATION MEDIA GROUP

What you need to know:

  • On Friday, Mr Tobiko told The Standard there were “sinister and mischievous” attempts to coerce him to put Mr Ouko in the dock.
  • The main report on the government’s entire accounts for the financial year should be out by January, as per the law, but is usually delayed until July.

The campaign to remove Mr Edward Ouko as auditor-general has suffered a significant setback after the Director of Public Prosecutions (DPP) cleared him of corruption allegations.

Mr Ouko is seen as a thorn in the flesh of the Jubilee administration because of the hard-hitting reports the Office of the Auditor-General regularly publishes pointing at improprieties in the spending of taxpayers’ money.

The DPP, Mr Keriako Tobiko, sent a statement to media houses at 4.47 am, on Saturday, hours after he spoke of the pressure he has been under to prosecute Mr Ouko, ostensibly at the behest of those who want him out.

The timing of the statement in which Mr Tobiko authorised the prosecution of eight individuals from the Office of the Auditor General, OSI Kenya Ltd and Oracle Kenya underlined the urgency with which the matter was handled.

It was also a pointer to the intrigues behind the scenes in the struggle to unseat Mr Ouko.

Last Thursday, a petition for the removal of Mr Ouko was submitted to the National Assembly.

It is yet to be scrutinised by the Speaker or in his absence the Deputy Speaker, and would be handled by the Justice and Legal Affairs Committee if approved.

With Mr Ouko off the hook, that petition could end up being an effort in futility.

EXPENSE REPORT

The petition was leaked to the press on Thursday afternoon, hours after submission, by individuals who have previously handled hatchet jobs for the administration, with their intention being to rattle Mr Ouko.

On Friday, Mr Tobiko told The Standard there were “sinister and mischievous” attempts to coerce him to put Mr Ouko in the dock.

“I find it rather strange that an extreme wave of urgency has been imposed on this matter when the same was not there since 2014 when it was taken up by investigators,” he was reported to have said.
With the DPP’s decision appearing to have dashed the hopes of his critics, an individual aware of the concerns within the administration said their “worst fears” are coming through.

The strategists behind the petition filed by Martin Nkaari of the International Policy Group are understood to be afraid that Mr Ouko could publish, and perhaps even publicise “a series of highly damaging audit reports as we go to the election”.

Mr Ouko has started releasing reports for the accounts of the 2015/16 financial year.

The main report on the government’s entire accounts for the financial year should be out by January, as per the law, but is usually delayed until July.

In the last one, the Auditor-General reported that Sh14.4 billion had been wasted and Sh7.3 billion unaccounted for.

In an election year, such information could have a damaging effect on a government already described as the most corrupt ever.

GRAFT SUSPECTS

The intrigue aside, Mr Tobiko recommended the prosecution of the eight individuals for a wide range of crimes connected to the purchase of Audit Vault, a software Mr Ouko has described as useful.

Mr Ouko has said the software helped uncover the dubious transactions through which more than Sh1.8 billion was stolen from the National Youth Service.

Mr Stephen Kinuthia, the deputy Auditor General, who was described by the Ethics and Anti-Corruption Commission as the architect of the scandal, will be charged with seven crimes individually and then one jointly with others.

He is to be charged with dealing with suspect property by receiving Sh27 million from the proceeds for the acquisition of Audit Vault from OSI Kenya Ltd, deceiving principal, conflict of interest, engaging in corrupt practice, collusion, corruptly giving a benefit by bribing Oracle’s sales executive with Sh500,000 and acquisition of the proceeds of crime.

Mr Charles Gichobi, the sales executive reported to have taken the Sh500,000, is to be charged with acquisition of the proceeds of crime.

Ms Annette Mwangi, a manager for information technology at the Office of the Auditor General, is to be charged with the offence of deceiving principal.

Justus Ongera, the director of ICT at the same office, is to be charged with the same offence.