E-Clips:- Business Pictorial - Githongo Report Implicates VP In Scandal

A report by former Ethics and Governance Permanent Secretary, John Githongo, implicates Vice-President Moody Awori in the multi-billion shilling Anglo Leasing scandal.

According to Githongo, Awori hosted a lunch meeting in May 2004 at his Muthangari home where those present questioned the need for an inquiry into the passports affair.

On several occasions, Cabinet minister Kiraitu Murungi and former Finance minister David Mwiraria appealed to anti-corruption investigators to "go easy" on companies with multi-million shilling contracts that were questioned by investigators. The lunch meeting came after Awori had surprised Kenyans with his defence of a Sh2.7 billion contract to Anglo Leasing and Finance Company to provide a tamper proof passport issuing, and immigration control system.

Earlier, Awori had defended the project in Parliament after members protested and demanded a ministerial statement from him when the scam was exposed in the House by MPs Maoka Maore and Kuria Kanyingi.

An undeterred Awori defended the passport project, telling Parliament that there was no "impropriety" involved at all, sparking outrage from members.

Anglo Leasing later turned out to be a phantom company, non-existent at the British addresses it had listed in contract documents. Still Government officials refused to reveal the identity of its directors, who were not named in official records.

The Sh90 million the company had received was mysteriously wired back to Treasury when the scandal became public and questions persisted. The passport tender was started by the Moi Government but was left hanging when Kanu vacated office, leaving behind copies of three short listed international bidders.

When Narc took charge in 2003, the Treasury nullified the shortlist of internationally reputable companies – GET Group of USA, Face Technologies of South Africa and De la Rue of Britain and replaced the Sh800 million passport system with a larger facility costing Sh2.7 billion. Civil servants working at the Finance ministry altered the project citing security concerns and the fight against terrorism.

The move set the stage for the entry of Anglo Leasing, which almost immediately submitted an unsolicited bid for the expanded system, had it accepted by the Government and sub-contracted French security printing firm Francois Charles Oberthur Fiduciaire