Businessman fails to stop Sh1.9bn ex-Migori governor Okoth Obado graft case

The Supreme Court refused to suspend one of the claims seeking recovery of more than 1.9 billion shillings against former Migori Governor Okoth Obadiu, his children and several contractors, as requested by a businessman involved in the case.

Judge Esther Maina denied Jared Peter Uluch Kuaga’s motion, saying that although the parties to the two petitions are broadly similar, the two cases have very different causes of action with different exemptions.

The judge noted that one of the lawsuits sought the recovery of a house in Loresho and two motor cars worth Sh15.9 million, which Mr Obado and his children were alleged to have obtained through corruption. The other lawsuit sought to recover more than Sh1.9 billion, which Mr. Obadiu and more than 20 others allegedly obtained from the Meguri district government through bogus purchase contracts.

is reading: Ex-Miguri governor Obado ‘has not yet handed over the cars’ in his corruption case

Mr Kwaja, who was implicated in the two cases, had argued that if the Ethics and Anti-Corruption Authority (EACC) succeeded in both lawsuits, it would recover double the amount, thus the illicit enrichment.

The judge said, “Under these circumstances, the application of the sixth (Kwaga) and seventh (Kwaga) defendants is deficient because this court has proven that the grounds of action are not the same.”

The EACC said it investigated the tenders awarded to several Kuaga-linked companies by the Migori provincial government between 2013 and 2017.

Court documents stated that of the money paid to the companies, about Sh34.5 million was spent in the purchase of the house in Lorisho and that Mr. Quagga transferred the money paid to him into his personal account and later deposited it into Mr. Quagga’s accounts. Abadiu’s children who were studying abroad.

is reading: The EACC links 23 companies to Obado in a multibillion-dollar embezzlement suit

The EACC said it sought mutual legal assistance through the Attorney General’s Offices in Scotland, the United Kingdom and Australia and discovered that the money sent by three companies, which do business with County Migori, sent the money to Obadio’s children.

One of Obado’s sons allegedly bought two Land Cruisers using the money.

Relatives of Mr. Kwaga, Mr. Obado and his five children – Dan, Susan Scarlett Acoth, Jerry and Evelyn Zachary are charged with conspiracy to commit economic crime and money laundering.

The Anti-Corruption Authority said the forfeiture case was filed based on convincing evidence obtained from further investigations and mutual legal assistance where Obado’s children resided and attended school.

The court was told that documents obtained through mutual legal assistance showed that money wired electronically to Australia, Scotland and England was not part of the evidence in the other case.

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