Companies in Sonko fraud case yet to surrender cars

Two firms whose bank accounts were frozen over links with Nairobi Governor Mike Sonko are yet to surrender eight motor vehicles to the Asset Recovery Agency (ASA), as ordered by the Anti-Corruption court two weeks ago. 

The companies, Hardi Enterprises Ltd and Toddy Engineering Company, are alleged to have been used by the governor to loot funds from the County Government after its owners’ Anthony Ng’ang’a Mwaura and his wife Rose Njeri Ng’ang’a funded his 2017 campaigns.

Yesterday, when the matter came for mention before Justice Mumbi Ngugi, the agency informed the court that the companies are yet to surrender the vehicles in compliance with an order dated February 24.

It is said the companies have failed to comply with the order since they want the vehicles and construction equipment exempted from being seized by the agency.

This is because the companies are still doing business with the government and are using the vehicles to undertake 15 State and donor-funded projects in the Rift Valley, Coast, Nairobi and Mt Kenya regions.

In an application, the firms are seeking a variation or suspension of the orders because they are using the vehicles to undertake essential services to the citizens.  

The vehicles include a Mercedes-Benz, Nissan Navara, Lexus LX 450, Toyota Vanguard, Nissan Qashqai and three Toyota Hilux, which according to the anti-corruption commission are proceeds of crime.  

The company directors, Mwaura and his wife Njeri, are said to have funded the election campaign of  Sonko between April and May 2017 to a tune of Sh8.6 million. 

But assets authority says, the companies were awarded tenders irregularly by the Sonko-led administration

In urging Justice Mumbi to consider vary the order that required surrendering of the motor vehicles, the firms said they are likely to face hardship in performing multimillion tenders of national interest to the extreme detriment to the public adding that the said projects require intense capital. 

They observed that freezing of their accounts made performance of the projects impossible thus the need for the court to rescind the preservatory orders in place.

“All subject motor vehicles, in as much as most of them were acquired outside the period of interest, are tools of trade necessary for execution of the subject tenders,” say the two firms in their court papers.

They argued that they will undergo the hardship and the public interests at stake outweighs any risk that the property concerned may be destroyed, lost, damaged, concealed or transferred.

Among the projects being undertaken by Toddy Engineering Company include construction of Kapenguria water supply project: Lot II, Muruny (Siyoi) Dam Kapenguria. The project is under National Water Conservation and Pipeline Corporations.

Mega projects 

In the same Rift Valley region, the company was awarded tender for construction of Ptokou & Sangat irrigation projects with Kerio Valley Development Authority. 

The company is also undertaking construction works of Sandai Irrigation Development project in Baringo South under the National Irrigation Board (NIB).

In Mt Kenya region, it is undertaking the construction for Kinoru stadium (Meru) to be used for Africa championship of nations and construction of a county stadium in Chuka in Tharaka Nithi County.

In the Coast region, Toddy was awarded a tender for relocation of water pipes from Changamwe to Makupa Roundabout with the Coast Water Services Board.

The company is also undertaking a food security programme in the Coast named as Tana Delta Irrigation Project Desilting of Kitere Mnazini Canal with the Tana and Athi Rivers Development Authority.

In Nairobi Toddy Engineering Company was awarded tender for water supply under the Athi Water Works Development Agency. 

The project is listed as Nairobi Satellite Towns Water and Sanitation Development Program; Phase one Ruiru-Juja/Greater Githurai water supply system.

For Hardi Enterprises Limited, it is currently undertaking several projects in Nairobi, Kiambu and Tharaka Nithi counties. The court directed that application to set aside the orders will be heard on March 25, 2020.