A couple may have fraudulently obtained Sh2 billion from the Kenya Pipeline Company (KPC) using briefcase companies.
A KPC staff, his nephew and the nephew’s wife now face prosecution over the eye-popping swindle from the State-run oil distributor through fictitious firms.
At the center of the scandal are seven phantom companies that were registered and carefully choreographed to siphon the billions from KPC without raising eyebrows.
The firms are Sealing and Seals Limited, Thermo Dynamic General Supplies Limited, Boiler and Petroleum Piping Systems Limited and Aero Dispenser’s Valves Limited. The others are Trans- Africa Pipeline Engineering Company Limited, Embridge Engineering Limited and Nairobi General Supplies Limited.
Suspicions were first raised when detectives could not establish the physical locations of companies as stipulated on the search based on CR12 documents from the Registrar of Companies.
Sealing and Seals Limited was allegedly paid Sh47 million for supplying Mechanical Seals while Aero Dispenser’s Valves Limited got Sh647 million for the supply of 60 hydrant pit valves.
All the seven companies are claimed to have offices at Gill House situated between Moi Avenue and Tom Mboya Street in Nairobi’s central business district.
In addition, Thermo Dynamic General Supplies Ltd received Sh400 million for delivering composite and metallic sleeves, while Boiler and Petroleum Piping Systems and Nairobi General Supplies pocketed Sh270 million and Sh637 million for supplying gaskets and O-rings, mechanical and rubber seals respectively.
Investigations by the DCI revealed that the seven companies are owned jointly by John Huba Waka and his wife Beryl Aluoch Khasinah as well as Francis Amina Juma, a senior KPC employee.
Detectives revealed Juma, Waka’s uncle, helped the couple penetrate KPC’s pool of tenders to scoop lucrative deals worth billions of shillings.
According to DCI reports, Khasinah, an employee at the National Hospital Insurance Fund (NHIF) together with her husband is a director in all the seven companies.
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