The Scandal besieged former cabinet secretary Anne Waiguru and former Family Bank Chief Executive Officer Peter Munyiri are involved in yet another highly questionable twin multi-billion shillings housing construction projects in Nairobi city and Ngong town.
The twin structures which are nearing completion are similar and constructed at virtually equal pace having been started at the same time when Waiguru was still the Cabinet Secretary at the ministry of devolution before being hounded out by the still sizzling National Youth Service (NYS) multi-billion shillings cash looting scandal.
Munyiri as the Family Bank CEO presided over the laundering of the billions of shillings of the looted cash which was transacted through the bank where the chief suspects in the scandal used to go and withdraw millions of shillings stashed in sacks with the apparent approval of Munyiri.
The principal suspects of the looted cash their fraudulent companies had accounts at the Family Bank particularly Josephine Kabura and Ben Gethi. They have already been charged in court over the looting scandal that has already netted in 17 suspects.
Interestingly Munyiri retired from being Family Bank’s CEO soon after the NYS scandal erupted with the bank being accused of money laundering and at the same time the Director of Public Prosecutions (DPP) KeriakoTobiko has since recommended the prosecution of Mr. Munyiri.
Therefore it follows that queries must be posed how come Waiguru and Munyiri started constructing these multi-billion shillings at the same time with hers being in Nairobi’s Central Business District on Ronald Ngala street a stone’s throw away from Ronald Ngala street post office while that of Munyiri is in Ngong town (see the pictures)?
Is it not possible that the monies being used to construct these structures are proceeds of the NYS scandal despite the fact that Waiguru has vehemently denied ever having a hand in the looting despite clear indications that she was heavily using proxies like Kabura.
It is also interesting to note that since Family bank was implicated in the money laundering of the looted NYS billions, the bank has been on a blanket binge of denying the allegations through paid up adverts and press statements, but the question remains that if its former Chief Executive was implicated in the scam how deeply involved was the bank in the entire operation?
The family bank has been correctly accused of money laundering because under the Central Bank of Kenya (CBK) guidelines, banks are expected to flag any transaction above $10,000 or its equivalent sum in the local currency to the Financial Reporting Centre, but it failed to make any report over the NYS saga as it unfolded under its own hands.
The DDP was quoted in a widely circulated letter saying: “I am satisfied that Family Bank contravened the reporting obligations under section 44 of POCAMLA and is therefore criminally culpable for the offense of failure to report suspicious or unusual transactions or activities that could constitute or be related to money laundering.”
The letter was addressed to the Director of Criminal Investigations (CID) Ndegwa Muhoro who appears to have not taken any action against the bank or Munyiri its former CEO. Other officials under investigation include Robert Oscar Nyaga, Charles Kamau Thiongo and Raphael Mutinda Ndunda.
The DPP has also indicated that Nancy Njambi, Meldon Awino Onyango and Josphine Wairi ought to be indicted over their involvement in possible money laundering.
The National Youth Service is reported to have lost more than Sh1.6 billion, which was transferred from its Central Bank account to three accounts in Family Bank. The money was later transferred to other banks to the accounts held by suspects in the scandal.
Family Bank is accused of handling the money and not reporting it to the Financial Reporting Centre, despite the significant transactions. The bank was fined Sh1 million for failure to report the large transactions.
Twenty other banks have since been sucked into the multibillion shillings scandal as Family bank desperately tries to distance itself from the mess it presided over, but the DPP insists that its employees who have since been sacked who were involved in it must be charged in court.