Tobiko orders EACC to further probe on transfer of Integrity Centre

Director of Public Prosecutions Keriako Tobiko

The Director of Public Prosecutions Keriako Tobiko has ordered the Ethics and Anti-Corruption Commission to carry out further investigations on how Integrity Centre was transferred to private entities.

EACC had told the DPP to close the file with no action on the probe on how the house was transferred after finding no criminal culpability on the part of any public officer in the process.

But the DPP said on Wednesday he had noted critical gaps in the file, which must be addressed before a final decision is made.

“The DPP therefore directed that further investigations be conducted expeditiously and the file be re-submitted for final directions,” said the DPP.

Ironically, some officials at the commission had been mentioned in the transfer of the house.

The inquiry was launched after a complaint was raised that the house was irregularly transferred to private entities to the deterrent of the interest of depositors of Trust Bank Limited.

Former EACC chairman Mumo Matemu had sought the help of the National Land Commission in the investigations into its sale.

Matemu wrote to NLC chairman Muhamad Swazuri last year in April saying they are investigating for corruption that may have taken place in the transaction.

“On our part, we are looking into any possible acts of corruption that may have taken place,” said Matemu in the letter dated April 13.

He said in November 1994, Revak Limited, which was the registered proprietor of the land where the building sits, took an unsecured loan of Sh152 million from Trade Finance Limited.

“However, when the financial institution was placed under the Central Bank’s Deposit Protection Fund, a court order was issued securing the loan by placing a charge against the property,” said Matemu.

He added that if the loan remains unpaid, it will now be escalating to about Sh500 million and the depositors would therefore be at a great risk if the security for the debt is not regularized.

The iconic building is being claimed by Tegus Limited and it had then informed EACC that it will not renew its lease which was to expire in June 2015.

The EACC questioned how the title deed to Integrity Centre, which was in the hands of the Deposit Protection Fund Board (DPFB) was transferred from the previous owner – Revack Limited – to Tegus.

The DPFB held the title on behalf of investors of Trust Bank, which was liquidated in 2001.

The building changed ownership in June 2013.

Investigations into the ownership of Integrity Centre began in June 2013 at the request of the then director of DPFB, Ms. Rose Detho.

In March 2014, Tegus Ltd, through their lawyer Kipkenda & Company Advocates, wrote to EACC claiming that some officials there were forging documents on the ownership of the building.