EACC sues former Sports PS, FKF President over Ksh.330M stadium scandal

EACC sues former Sports PS, FKF President over Ksh.330M stadium scandal

File image of the EACC headquarters at Integrity Centre in Nairobi. PHOTO | COURTESY

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The Ethics and Anti-Corruption Commission (EACC) has filed a civil suit seeking to recover Ksh.330 million paid out for what investigators describe as a fraudulent stadium tender ahead of the 2018 Africa Nations Championships (CHAN).

In court papers filed on January 22, 2026, the anti-graft agency is pursuing Ksh.330,572,997.52 paid to Auditel Kenya under Tender No. MOSCA/CHAN/002/2017–2018 for the “design, supply, testing, commissioning and supervision of security, access control, communications, audiovisual and pitch lighting systems for various stadia in Kenya”

The suit names former Sports Principal Secretary Amb. Peter Kirimi Kaberia, former Football Kenya Federation (FKF) President Nick Mwendwa, senior officials from the Ministry of Sports and Culture, as well as directors of Restea Enterprise Ltd, Leasepride Limited and Leasepath Limited, companies alleged to have benefited from the transaction.

According to the plaint, the contract was awarded in 2017 at a total price of USD 15,892,980.63 (about Ksh.1.5 billion) by the State Department for Sports Development, Ministry of Sports, Culture and the Arts, in preparation for CHAN 2018, out of which Ksh.330,573,997 was paid as an advance payment.

EACC states that the contract, executed on September 14, 2017, was signed by Mr Kaberia on behalf of the Government and Mr Marcos Gonzalez Puente on behalf of Auditel Kenya, witnessed by Nick Mwendwa, then FKF President, and Herbert Mwachiro, the CHAN 2018 Event Director

Investigations found that the procurement was single-sourced in violation of public procurement laws, and the commission listed multiple irregularities. These include the absence of a tender document, lack of an approved purchase requisition, failure to furnish a bid bond, and the non-appointment of tender opening and evaluation committees.

The court papers further state that no professional opinion was prepared to support the award, no letter of award or acceptance was issued, and the contractor provided no performance bond

EACC also notes that the advance payment was secured by a bank guarantee from a foreign bank that was not validated locally, and that “no deliveries were ever made under the contract”

The commission says Auditel Kenya raised an invoice for an advance payment of USD 3,687,171.51 barely a month after the contract was signed. On January 19, 2018, Ksh.330.5 million was transferred to the firm’s account at Bankinter in Madrid, Spain, despite the absence of a Milestone Completion Certificate, a mandatory requirement for facilitating advance payment under the contract

"At the end of the four-month contract period, no access control, security or pitch lighting systems had been installed in any of the CHAN 2018 tournament stadia,..the contractor failed to perform its contractual obligations," stated the documents.

EACC further notes that Auditel Kenya was registered in Kenya on August 25, 2017, with its parent company, Auditel Ingenieria y Servicios, S.L., based in Madrid, Spain. The Kenyan entity was later dissolved on June 26, 2020, according to Gazette Notice No. 4316

The suit further details the alleged money trail after the funds were received, indicating that several individuals and entities involved in the procurement and contract award process received kickbacks.

Among those listed are Restea Enterprise Ltd, Leasepride Limited and Leasepath Limited, alongside individuals, including Mwendwa and officials linked to Sports Kenya, who are accused of receiving funds linked to the transaction

EACC is seeking to recover theaforementioned amount jointly and severally from the former Sports PS, the former FKF President and other officials, arguing that they facilitated “the illicit acquisition and laundering of proceeds of corruption”

In addition to the civil recovery proceedings, the commission has recommended criminal charges, including abuse of office and failure to comply with procurement laws.

The investigation file has been forwarded to the Office of the Director of Public Prosecutions for further action.


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EACC Corruption Nick Mwendwa Citizen Digital Sports

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