How Obado swindled 2 billion within 3 years-EACC

The County Government of Migori lost close to Sh2 billion within three years through irregular payment, a court has heard.

Details emerged that close to seven traders said to be proxies of Governor Okoth Obado received the payments.

Documents filed in court by the Ethics and Anti-Corruption Commission showed that the seven traders, who include six members from one family, registered 16 briefcase companies with the sole purpose of syphoning public funds meant for devolution.


The revelation came as Lady Justice Hedwig Ong’udi extended orders barring the seven, Jared Oluoch Kwaga, his wife Christine Akinyi, his brothers Joram Otieno and Patroba Otieno, his mother Penina Auma and sister-in-law Carolyne Anyango from disposing of their multi-million shillings assets.

According to EACC investigator Anne Murigih, the companies were inactive since being formed between 2014 and 2016 with zero balances in their accounts only to start amassing the huge amounts when they started trading with the county government.

“Their bank accounts were dormant until November 2016 with nil balances which is a characteristic of a briefcase company. But in a span of three years, the newly registered companies transacted a total of Sh1,971,179,180 from Migori County which amount is unexplained,” said Murigih.

But the seven traders denied being the governor’s proxies and defended their businesses with the county government stating that their properties were legally acquired and fully documented in publicly available records.

Oluoch, who the EACC claims was the architect of the scandal stated in his affidavit that they have not accumulated illegal wealth and that all services they rendered can be verified.

According to the businessman, the suit by EACC was an abuse of the court process to stop them from enjoying the fruits of their labour and want the court to dismiss it and lift the orders that stopped the family from dealing with their multi-million shillings properties.

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