The Ethics and Anti-Corruption Commission (EACC) has arrested three suspects over the alleged embezzlement of Ksh4.8 million that had been allocated for the purchase and installation of six electricity transformers under the National Government Constituencies Development Fund (NG-CDF) for Igembe North Constituency.
In a statement on Wednesday, July 29, the agency said the suspects are expected to be arraigned before the Meru Law Courts to face multiple corruption-related charges.
EACC said the investigations were launched after receiving reports that senior officials of the Igembe North NG-CDF had allegedly embezzled the funds allocated for the project.
"EACC commenced investigations following allegations of the embezzlement of Ksh4.8 million by senior officials of the NG-CDF for Igembe North Constituency during the 2014/2015 Financial Year," the statement read.
According to EACC, investigators established that the constituency's NG-CDF Committee received Ksh4.8 million to facilitate the purchase and installation of six electricity transformers at Buathine, Ethiopia, Ntobocui, Luciuti MCK, Marere Centre, and Muurune, with each transformer budgeted at Ksh800,000.
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"Investigations established that the NG-CDF Committee for Igembe North received Ksh4.8 million for the purchase and installation of six transformers at Buathine, Ethiopia, Ntobocui, Luciuti MCK, Marere Centre, and Muurune, with each transformer allocated Ksh800,000," the statement added.
EACC further established that the money was transferred into six separate project bank accounts before being withdrawn on the same day by account signatories James Muroki Eusebio, James Ntonjira Ntongai, and Joshua M'maroo, acting with the authority of the then NG-CDF Fund Manager, Pauline Waruguru Mwangi.
Investigations also revealed that although the committee claimed to have engaged the Rural Electrification Authority (REA) and the Kenya Power and Lighting Company (KPLC) to implement the project, both institutions confirmed they neither received payment nor any communication regarding the procurement.
As a result, no transformers were purchased or installed at any of the identified project sites.
Following the conclusion of the investigations, EACC forwarded the inquiry file to the Director of Public Prosecutions (DPP), who approved the prosecution of the four suspects on several corruption-related charges.
"Upon completion of investigations, the Commission forwarded the inquiry file to the Director of Public Prosecutions (DPP), who approved the prosecution of Pauline Waruguru Mwangi, James Muroki Eusebio, James Ntonjira Ntongai, and Joshua M'maroo on various charges, including Conspiracy to Commit an Offence of Corruption, Unlawful Acquisition of Public Property, Abuse of Office, and Misappropriation of Constituency Development Funds," the statement noted.
EACC confirmed that three of the suspects have already been arrested and will be presented before the Meru Law Courts to take plea.
"Today, the Commission arrested three suspects, Pauline Waruguru Mwangi, James Muroki Eusebio and James Ntonjira Ntongai, who are scheduled to be arraigned before the Meru Law Courts to take plea," the statement further read.
EACC also called on the remaining suspect, Joshua M'maroo, to surrender to the nearest EACC office for processing ahead of his arraignment.
"EACC hereby directs the remaining suspect, Joshua M'maroo, to present himself at the Commission's Upper Eastern Regional Office in Isolo or any nearby EACC Office for processing and arraignment," the statement concluded.
This comes a day after the Directorate of Criminal Investigations (DCI) charged five directors linked to two healthcare facilities over an alleged fraud scheme targeting the Social Health Authority (SHA).
In a statement on Tuesday, July 28, the agency said the five suspects, who are directors of Nissi Medical Centre and Dawa Front Healthcare Services, were arraigned before the Milimani Law Courts following investigations into alleged irregular claims submitted to the national health insurer.
The DCI said the investigations were initiated after SHA reported suspected fraud uncovered during a forensic review of claims submitted by contracted healthcare providers.
"The arrests followed a formal complaint lodged by the SHA after a forensic audit uncovered widespread irregularities in medical claims submitted by several contracted healthcare providers," the statement read.
Investigators also established that some healthcare facilities that had previously been shut down by the Kenya Medical Practitioners and Dentists Council (KMPDC) for failing to meet regulatory requirements allegedly continued providing services while remaining under active SHA contracts.
According to the DCI, subsequent investigations found that the suspects allegedly orchestrated fraudulent schemes involving irregular and fictitious medical claims.
Detectives also established that some claims were submitted by facilities operating outside the requirements of the Social Health Insurance Act and other applicable regulatory frameworks.
The agency further disclosed that the alleged fraud resulted in millions of shillings being paid out to the two healthcare facilities, while investigators managed to stop additional payments before they were processed.
"Investigations also revealed that Nissi Medical Centre allegedly received more than Ksh38.7 million through fraudulent claims, while Dawa Front Healthcare Services is suspected to have fraudulently obtained more than Ksh2.5 million. Detectives also intercepted additional claims worth over Ksh8.1 million before payment," the statement further read.
