Mr Gitobu Imanyara (Imenti Central) told his colleagues in the House Matemu was allegedly at the heart of the clique that ran down AFC through collusion with shady businessmen.
“Businessmen of Asian descent would apply for loans of between Sh18 million and Sh24 million from AFC, and then, all these loans would be written off and these loans amounted to over Sh5 billion,” Imanyara claimed.
Matemu’s appointment was later challenged in a Nakuru court where, on May 16, Justice Anyara Emukule issued temporary injunction and referred the case to Chief Justice Willy Mutunga to set up a three-judge bench in Nairobi.
Elijah Sigona of the Trusted Society of Human Rights Alliance went to court on May 15 after Parliament approved Matemu’s appointment.
The lobby group sued the Attorney General, the Minister for Justice and Constitutional Affairs and the DPP for ignoring public concerns over Matemu’s integrity during the appointment process.
They sought court orders declaring the process of Matemu’s appointment unconstitutional, illegal and a coup on the Constitution as it was devoid of consultations and democracy and therefore a disrespect of the Kenyan people.
The case was supported by claims from an agricultural contractor who accused Matemu of presiding over massive loss of public resources at AFC during his stint as its legal officer.
Rift Valley Agricultural Contractors alleged despite forwarding the detailed complaints to the DPP Mr Keriako Tobiko through the Human Rights Alliance, the allegations were ignored.
The agricultural firm alleges in 1997 when he worked at AFC, Matemu approved payment of Sh24 million on the basis of a non-existent security as the land meant to secure the loan had been sold off four years earlier.
They further accused the Director of approving two other loans of Sh18 million and Sh19.2 million using the same piece of land within the same time period monies that the firm alleged were paid to National Bank instead of AFC.
— Additional reporting by Patrick Kibet