Directors of company in Ksh.6B Telkom Kenya buyback scandal unmasked

The Controller of Budget was on the spot yet again for approving Ksh.6 billion for Telkom Kenya buyout in the run-up to last year’s General Election.

Outgoing Solicitor General Ken Ogeto told a Parliamentary Committee that the payment of such a bulk should have had an opinion from the Attorney General.

Ogeto went ahead to unmask the identities of directors of Helios Investments Limited with companies dotted in London, Mauritius Island and Cayman Island that is located to the West of Jamaica.

During the inquiry into the payment of Ksh.6 billion to Helios Ltd to exit Telkom Kenya and surrender shares to the Kenyan government, it emerged that faceless individuals overseas benefitted from the acquisition.

The first affiliate is HIP GP I Ltd located on Cayman Island with 50 shares while HIP GP Ltd located in the same office on Cayman island which is notorious of offshore stoke market dealings.

The Solicitor General also revealed that Paul Gerard Cunningham born in England is one of the Helios Ltd directors.

Henry Awele Obi, an Irish national leaving in London, is also a director.

One Kenyan Robert Mwangi Ndungu has been listed in documents presented before the joint committee of parliament as the company secretary.

“I can tell this committee is difficult to get them unless now a cooperation between the governments...,” said the Solicitor General.

Despite payment of Ksh.6 billion to buy out the shares, the government of Kenya fully only has Ksh.37.9 percent of the shares begging the question why the payment.

While appearing before the committee, Telkom Kenya said: “Telkom Kenya Limited neither received nor disbursed any funds relating to the exit of  Jamhuri Holding Limited (JHL) and is therefore not aware of any details of payees, account particulars and amounts paid.”

A heated debate ensued as the Controller of Budget was put to task to explain under what circumstances she approved the payments.

“Chair you are out of order… Chair you are out of order… We can’t come here to assume things, let her tell this committee why she approved the payments…,” said MP Gideon Kimaiyo.

“The controller of budget needs to be put under oath, this is a serious matter…” added MP Keynan.

The hearing continues tomorrow.