Sirisia MP John Waluke charged with fraud in Sh297m deal
SEE ALSO :We've got evidence to nail MP, says EACCErad had been in a long running battle with NCPB over a botched maize supply saga. In 2003, NCPB floated a 180,000 tonnes of maize supply tender. Five companies were picked. Hala General Trading LLC, Euroworld Commodities Limited and Erad were contracted to supply 40,000 each while Purma Holdings and Freba Investments got 30,000 each. After a fallout on the payments, NCPB and Erad opted to arbitrate the issue which then escalated to the Court of Appeal. Arbitrator, Evans Thiga ruled in favour of the firm and awarded it Sh564 million as compensation for losses and storage fees. Aggrieved, the board moved to the High Court and again its case was dismissed by Justice Leonard Njagi. NCPB went to the Court of Appeal but it equally lost. According to NCPB the firm which Erad had contracted to supply it with maize, Ropack CC International, did not deal with maize business. In the deal, Erad was supposed to supply 40,000 tonnes of maize, but NCPB allegedly failed to issue letters of credit to enable it import the maize. Account attached After the ruling, Erad attached NCPB’s account held at Kenya Commercial Bank and some of its assets worth Sh297 million. But Parliament’s Investment Committee declared that Erad should not be paid as the documents it had used were falsified and invalid. The report tabled before Parliament in 2013 read that Erad was not qualified to supply the maize.