EACC sues former Sports PS, FKF President over Ksh.330M stadium scandal
File image of the EACC headquarters at Integrity Centre in Nairobi. PHOTO | COURTESY
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The Ethics and Anti-Corruption Commission (EACC) has filed a civil suit seeking to recover Ksh.330 million paid out for what investigators describe as a fraudulent stadium tender ahead of the 2018 Africa Nations Championships (CHAN).
In court papers filed on January 22, 2026, the anti-graft
agency is pursuing Ksh.330,572,997.52 paid to Auditel Kenya under Tender No.
MOSCA/CHAN/002/2017–2018 for the “design, supply, testing, commissioning and
supervision of security, access control, communications, audiovisual and pitch
lighting systems for various stadia in Kenya”
The suit names former Sports Principal Secretary Amb. Peter
Kirimi Kaberia, former Football Kenya Federation (FKF) President Nick Mwendwa,
senior officials from the Ministry of Sports and Culture, as well as directors
of Restea Enterprise Ltd, Leasepride Limited and Leasepath Limited, companies
alleged to have benefited from the transaction.
According to the plaint, the contract was awarded in 2017 at
a total price of USD 15,892,980.63 (about Ksh.1.5 billion) by the State
Department for Sports Development, Ministry of Sports, Culture and the Arts, in
preparation for CHAN 2018, out of which Ksh.330,573,997 was paid as an
advance payment.
EACC states that the contract, executed on September 14,
2017, was signed by Mr Kaberia on behalf of the Government and Mr
Marcos Gonzalez Puente on behalf of Auditel Kenya, witnessed by Nick
Mwendwa, then FKF President, and Herbert Mwachiro, the CHAN 2018 Event Director
Investigations found that the procurement was single-sourced in violation of public procurement laws, and the commission listed multiple irregularities. These include the absence of a tender document, lack of an approved purchase requisition, failure to furnish a bid bond, and the non-appointment of tender opening and evaluation committees.
The
court papers further state that no professional opinion was prepared to support
the award, no letter of award or acceptance was issued, and the contractor provided no performance bond
EACC also notes that the advance payment was secured by a
bank guarantee from a foreign bank that was not validated locally, and that “no
deliveries were ever made under the contract”
The commission says Auditel Kenya raised an invoice for an advance payment of USD 3,687,171.51 barely a month after the contract was signed. On January 19, 2018, Ksh.330.5 million was transferred to the firm’s account at Bankinter in Madrid, Spain, despite the absence of a Milestone Completion Certificate, a mandatory requirement for facilitating advance payment under the contract
EACC further notes that Auditel Kenya was registered in Kenya on August 25, 2017,
with its parent company, Auditel Ingenieria y Servicios, S.L., based in Madrid,
Spain. The Kenyan entity was later dissolved on June 26, 2020, according to
Gazette Notice No. 4316
The suit further details the alleged money trail after the funds were received, indicating that several individuals and entities involved in the procurement and contract award process received kickbacks.
Among those
listed are Restea Enterprise Ltd, Leasepride Limited and Leasepath Limited,
alongside individuals, including Mwendwa and officials linked to Sports
Kenya, who are accused of receiving funds linked to the transaction
EACC is seeking to recover theaforementioned amount jointly
and severally from the former Sports PS, the former FKF President and other
officials, arguing that they facilitated “the illicit acquisition and
laundering of proceeds of corruption”
In addition to the civil recovery proceedings, the commission has recommended criminal charges, including abuse of office and failure to comply with procurement laws.
The investigation file has been
forwarded to the Office of the Director of Public Prosecutions for further
action.


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