Treasury officials among 9 suspects arrested over Ksh.1.5 billion fraud - EACC

The suspects include senior officials in the National Treasury, which is implementing the programme through funding from the International Fund for Agricultural Development (IFAD).

According to EACC, the Programme, which was intended to facilitate small-scale farmers' access to affordable financing, was implemented between the 2013/2014 and 2023/2024 financial years.

“EACC investigations established that Ksh.1.569 billion was fraudulently disbursed from the National Treasury Development Account to the PROFIT Programme and subsequently channelled to 23 private entities, 15 business names and eight companies, for goods and services that were never supplied or rendered,” the commission said in a statement on Tuesday. 

The commission further listed 11 other persons of interest, directing them to present themselves to the commission offices. 

EACC said that programme officials used false and forged documents to account for the funds. It further alleged that an unauthorized account, in the name of the PROFIT Programme, was opened at KCB Bank, through which Ksh.175 million was received, laundered and embezzled, and a substantial portion withdrawn in cash. 

“Investigators also established financial links between programme officials and some of the private entities that received the funds, in apparent contravention of public financial management and accountability requirements,” said EACC CEO Abdi Mohamud. 

The commission has lined up charges of unlawful acquisition of public property, abuse of office, money laundering, acquisition of proceeds of crime and uttering false documents, among other offences.