CORD demands truth on Eurobond

CORD leaders Kalonzo Musyoka (left), Raila Odinga (centre) and Moses Wetang'ula address the Press on the Eurobond saga at Capitol Hill office in Nairobi yesterday. [Photo: BEVERLYNE MUSILI/Standard]

Opposition chiefs are considering legal action against Central Bank of Kenya (CBK) Governor Patrick Njoroge for rejecting their request for a meeting to shed light on the Eurobond proceeds.

CORD leaders Raila Odinga, Kalonzo Musyoka and Moses Wetang’ula said the decision by Dr Njoroge not to meet them was unconstitutional and only reinforced their view that the billions were looted.

They cited Article 35 of the Constitution which guarantees that every citizen has the right of access to information held by the State; and that the State shall publish and publicise any important information affecting the nation.

“The option of seeking legal redress is still open but what we want to know is the whereabouts of the Eurobond proceeds,” stated a statement read by Kalonzo.

The leaders maintained that until the Government proves otherwise, their position is that the Eurobond money, which was raised abroad, was stolen and that the Government brought home a debt.

“Until the Government proves otherwise, we maintain that the Eurobond money was raised abroad and stolen abroad. All that the Government brought home was the debt. We are not letting this matter go. We are exploring many options to help us get to the truth,” said Kalonzo in a statement read on behalf of the leaders.

CORD claimed that it is an ever-changing and conflicting position of the Government on Eurobond that compelled them to write to the CBK Governor in the belief that he would have the final word and the duty to share it with the public.

PRIVILEGED DOCUMENTS

But on Wednesday evening, Dr Njoroge in response to their request, declared “the information and documents held by the CBK in relation to the Eurobond are privileged under the banking laws, and therefore cannot be disclosed to third parties.”

It is this response that has angered the Opposition chiefs, setting another political duel on the controversial Eurobond proceeds in which they claim that Sh100 billion ($ 1 billion) did not leave the Federal Reserve Bank in New York.

But in a quick rejoinder, State House explained that Raila was requested by the Ethics and Anti-Corruption Commission (EACC) to provide information and voice his concerns but declined.

Presidential Strategic Communication Unit (PSCU) Senior Director of Messaging Eric Ng’eno said Raila was again invited by National Treasury Cabinet Secretary Henry Rotich, who published all relevant documentation on the ministry website, but rebuffed the invitation.

“It is interesting to note that the invitation to Odinga to Treasury for a face-to-face encounter was intended to serve the purposes which he required of the Central Bank Governor,” Ng’eno said.

He added: “It is clear that Odinga is not interested in facts, information, data or documents because he has publicly refused to receive them.”

CORD leaders now intend to write to CBK Chairman Mohamed Nyaoga to find out why he advised the governor against meeting the Opposition leaders.

The Opposition leaders argued that CBK is a State organ mandated by the people to handle public money and should, with utmost honesty, provide information regarding the same on behalf of the people.

“CBK cannot justifiably and legally erect a wall of privilege against the owner of the money; the people of the Republic of Kenya. We are witnessing the subversion of the People’s Constitution. The chairman of the board must explain this treasonable position by a State organ. And we will demand punishment fitting this crime,” said Kalonzo.

GRAVE CONCERN

The Opposition also raised concern over the composition of CBK, saying that under the CBK Act, the board of directors is obligated to determine the policy of the bank and keep in constant review the performance of the governor.

CORD lso claimed that Njoroge was operating under the policy direction of Mr Nyaoga and  National Treasury PS Kamau Thugge, who are the only members of the board. For the last two years, CBK has not had a full board.

“A matter of grave concern to us is how the CBK has chosen to operate without a board. This is the reason there is so much confusion at the CBK,” said Kalonzo.