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Senators demand answers as KNTC faces scrutiny over KES 16.5 billion edible oils scandal

Brian Murimi by Brian Murimi
November 30, 2023
in News
Reading Time: 2 mins read

The Senate Committee on Trade and Investment faced disruptions in its quest to determine the whereabouts of imported cooking oil acquired by the Kenya National Trading Corporation (KNTC).

Cabinet Secretary Rebecca Miano, accompanied by ministry officials, appeared before the committee. Tensions rose when KNTC Managing Director Pamela Mutua, summoned by the Directorate of Criminal Investigations (DCI), failed to attend. Senators expressed frustration, underscoring the imperative for physically confirming the oil’s presence in warehouses during their visit.

Mutua is presently under investigation for her alleged involvement in a Ksh.16.5 billion edible oils scandal. Senators lamented a lack of cooperation and voiced concerns about potential financial losses and inflated prices of imported edible oil. The Ethics and Anti-Corruption Commission (EACC) initiated inquiries into the purported embezzlement of public funds by KNTC through irregular tenders for food commodities. Documented discrepancies heightened skepticism and underscored the urgency of addressing the matter seriously.

In the session, Cabinet Secretary Rebecca Miano revealed that Mutua had been summoned by the DCI and was currently responding to questions. However, senators felt unwelcome in their inquiry, perceiving efforts to obstruct investigations.

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Busia Senator Okiya Omtatah expressed concern, stating, “If we can prosecute the oil before Christmas, I will not be able to sit in these meetings.” Kiambu Senator Karungo Thangwa insisted on physically inspecting the oil and proposed adjourning the meeting for the department to treat the matter with greater seriousness. Samburu Senator Steve Ltumbesi emphasized the importance of not trivializing the matter, considering potential losses and public apprehensions about the promised cheaper oil.

The EACC commenced investigations in late October, concentrating on the alleged embezzlement of public funds through irregular tenders for the supply and delivery of food commodities. The investigation exposed that KNTC single-sourced companies contracted to import 125,000 metric tonnes of edible oil, establishing higher prices than initially agreed upon.

President William Ruto had negotiated a contract with cooking oil manufacturers to reduce the cost of edible oil, aiming to address the high cost of basic commodities. KNTC awarded Multi Commerce FCZ an KES 8.12 billion tender to supply vegetable oil and Shehena Company Limited to supply jerricans of edible oil at KES 1.33 billion. The Kenya Revenue Authority facilitated subsequent imports through a gazette notice, with discrepancies in entries on three Single Administrative Documents currently under investigation.

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Brian Murimi

Brian Murimi

Brian Murimi is a communications and advocacy professional with a focus on innovation, policy and continental development in Africa. A former journalist, he now works at the intersection of knowledge, strategy, and pan-African institution building.

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