A few weeks ago I blogged on the farcical deal cut between
the Kenyan Anti Corruption Commission and one of the greatest looters of Kenyan
funds in the country’s history. The Goldenberg scandal of the early 1990s
brought the Kenyan economy to its knees. Chief architect of the multi-billion
dollar swindle was one Kamlesh Pattni. In April this year the KACC agreed to
accept Pattni hand over his 5* Grand
Regency Hotel to the Central Bank of Kenya, and thus the public. Pattni gloated
on television that he had been “immunised”-
the KACC had granted an amnesty.
This week the farce has continued as details have slowly
leaked out regarding the fraudulent sale of the Grand Regency, a sale directed
by Kenya’s Minister of Finance, Amos Kimunya, and the Governor of the Central
Bank. Kimunya’s cabinet colleagues claim they knew nothing of the sale, which
was never offered out to public bids contrary to Kenyan law. Initially Kimunya
denied the Hotel had been sold. A fellow minister blew-the-whistle and Kimunya
backtracked admitting it had, for a price of 2.9 billion shillings $(45
million). Now it turns out the land and building were sold for just 1.8 billion
shillings, way under the market value for a piece of Nairobi’s hottest
real-estate.
Kimunya is a man on the rack. Yesterday parliament passed a
vote-of-no-confidence against Kimunya. A 5-man team appointed by the PM Raila
Odinga told the President Kimunya ought to resign and an investigation set up.
And you can bet Kimunya will resign. An even safer bet is
that he will be back holding a ministerial post in a matter of months, a year
or two at the most. He would be joining a fair-sized list of Ministers who have
done the same…Prof George Saitoti to name one. He was named by an inquiry into
Goldenberg years ago…but he wasn’t wondering in the political wilderness long
before he was brought back on board.
It’s too early to say that Kimunya has pocketed public
funds or whether he's just been careless. There is a strong whiff of corruption and at the very least however he has acted outside the law in what appears
to be a fraudulent deal. Kimunya’s next few days and months will be a telling
indication of whether Kibaki is serious, and indeed capable, of fighting
corruption, or whether Ministers are still able rob Kenyans with total
impunity. Bear in mind you get seven years behind bars in Kenya just for
stealing a chicken!
Needless to say, Kenyans are shaking their heads in dismay.
I took a ride yesterday in Christopher’s (taxi driver) battered Toyota. “We
work 24 hours a day for peanuts”, he bemoaned, “while they pay themselves a
handsome salary. Why, why do they steal on top? It’s not enough for him to
resign. He should go to jail.”
There is a danger Kimunya becomes the fall guy and we must not lose sight of the fact that this latest scandal is just one piece of a far bigger fraud. There are politicians and businessmen who need bringing to book. A year ago the KACC spokesperson told me that he could assure Kenyans " all the big fish would be brought to justice". If surrendering a hotel bought with stolen funds in the first instance is the KACC's idea of justice then these are sad times for Kenya.