Wednesday, November 3, 2010

Shock for the corrupt with billions abroad

By Luke Anami

British Government has joined renewed bid to clip the wings of official corruption with promise to help trace billions stolen from Kenyan taxpayers and hidden in her soil.

The UK is believed to be home to secret accounts and prime assets which corrupt officials sunk money siphoned from Kenya, most of which were pointed out by the Kroll Report.

British High Commissioner to Kenya Mr Rob Macaire said his Government was aware of properties in UK believed to have been acquired through corrupt means by officials serving in the governments of former President Moi and President Kibaki.

Asking Kenya Anti-Corruption Commission, which is under new management after the exit of Justice Aaron Ringera, Mr Macaire said his Government would seize and repatriate funds hidden in his home country.

"We are willing and waiting for the Kenyan authorities to contact us once they are ready. We would like to see assets stashed in the UK taken back to Kenya," he said.

He also asked KACC to go for the other monies held by the corrupt in offshore accounts as well as properties, which the stolen billions were invested in.

He said the UK Government would support and strengthen institutions charged with the fight against corruption in Kenya. "We would like to see the fight against corruption intensified in all sectors," Macaire said.

The new promise by the UK Government coincides with a new anti-corruption drive heralded by the enactment of a new Constitution. Since the promulgation of the Constitution, in August, a fresh crusade against corruption has taken root and the promise by the UK could see some action on the billions of shillings stolen over the years.

According to the Kroll Report, which was commissioned by President Kibaki in 2004, more than an estimated Sh150 billion was stolen by powerful personalities before 2003 and hidden in foreign accounts. The investigators also traced assets worth billions of shillings in the UK, USA, Australia and South Africa.

Former Ethics and Governance PS John Githongo had accused the Kenya Anti-Corruption Commission of lacking interest in fighting corruption high up in Government. [PHOTO: file/STANDARD]

The UK is believed to be home to most of the money that was stolen from the Kenyan public by powerful individuals with the Kroll Report estimating that Sh100 billion has been stashed in Britain in cash or in the form of assets.

Most of the money looted between 1990 and 1995 was spirited to British, European and Canadian banks by powerful politicians and crooked businessmen.

Yesterday, Mr Macaire said: "Our Government is ready and willing to assist the fight against corruption, which so far poses the biggest threat to Kenya today."

Previously, attempts by Kenya to trace the stolen billions have been seen to be weak although on the other hand, the Kenya Government has often accused Western nations of failing to support its efforts.

But the new promise by Macaire comes as PLO Lumumba settles in his seat at the helm of KACC, where he took over from Ringera who was accused by former Ethics and Governance PS John Githongo of lacking the interest to fight corruption high up in government.

Githongo, who resigned and went into exile, at one time revealed recordings he made of senior officials in the Kibaki Government who wanted him to go slow on the fight on corruption. Ringera was viewed as an underachiever in the fight against graft and Kenyans have high expectations Lumumba would score better.

Yesterday, the UK ambassador said: "We are aware of the Government’s renewed efforts to fight corruption as witnessed in recent events in Parliament".

"We pledge our total support including seizing assets believed to have been acquired illegally and hidden in the UK," he added.

The envoy’s comments come in the wake of claims by Government officials including Attorney General Amos Wako of lack of support from foreign capitals in seizing assets and money hidden abroad through a complicated mesh of companies, trustees and attorneys.

The Kenya Government has been so far unable to seize any properties citing frustration and other legal hurdles. For instance, during investigation into the Goldenberg and Anglo Leasing scandals, the Government cited frustrations in accessing assets hidden abroad.

First step

A good example is the Kroll investigation into the former Kanu regime, which was commissioned by President Kibaki shortly after he came to power on an anti-corruption platform in 2003.

It was meant to be the first step towards recovering some of the money stolen during Kanu rule. But soon after the investigation was launched, President Kibaki’s Government was caught up in its own scandal, the Sh7 billion twin Anglo Leasing scandals, which involved awarding huge government contracts to bogus companies.

The Kroll Report commissioned by the Kenya Government, was submitted in 2004, but never acted upon. The fight against corruption was further made difficult when Government officials in the previous National Rainbow Coalition Government dismissed the findings of the Kroll Report as rumours.

Macaire’s statement seems to be a departure from the past when foreign governments were accused of making it difficult for Kenya to seize looted assets stashed away in their capitals.

"The British Foreign Office is ready and waiting to get in touch with their Kenyan counterparts as soon as such plans are in place," promised Macaire who was speaking during the handing over of the Airport Emergency Plan to Transport Minister Amos Kimunya at Transcom Offices.

With the passing of a new Constitution, there are renewed calls to freeze and seize assets in foreign countries held by former and current government officials including those mentioned in the Kroll Report.

"I further call upon Kenyans to fight corruption as it is the biggest threat to democracy and economic well being of Kenyans," he went on.

His statement comes at a time when the Ministry of Justice has sponsored a Mutual Legal Assistance Bill that will facilitate retrieval of properties from foreign capitals.

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