Tanzanian Ambassador to Kenya Dan Kazungu has been put on the spot after he was accused of fraud worth Sh18 billion.
According to the Tanzanian Government, Ambassador Kazungu authorised a local firm Indo Power Solutions a cashew Nut deal that saw the government of Tanzania loss billions.
In a statement by the Tanzanian Trade and Industries Minister Joseph Kakunda, there was an exchange of communication between the Tanzanian government, the Tanzanian Embassy in Kenya and the Kenyan Embassy in Tanzania before the deal that later backfired.
According to the minister, he received a letter from Indo Power Solutions in December 2018 expressing their interest in buying the nuts, which he later responded asking the Tanzanian embassy in Kenya to do a background check of the company.
While addressing the parliament Minister Kakunda said, “The ambassador brought all the registration and operation documents to satisfy that the company is registered and working in Kenya, “After satisfying all the requirement, it’s when we started engaging the company directly.”
In the deal, the company, dealing in coffee and chicken farming, alcohol importation and whole petroleum products sale, was to pay the Sh18 billion within three days which never happened and were given the boot in March for failing to raise the amount in three days and later, a month extension.
The funds the company was expected to pay the Magufuli administration, equalled half of what the Kenyan government spent in constructing one of the most innovative road projects in the country, Thika Road.