Italy gave Kenya documents indicating how money was spent in the controversial Italy hands Kenya damning dossier on Arror and Kimwarer dams.
Italy hands Kenya damning dossier on Arror and Kimwarer dams
Solving Arror and Kamwarer dams saga
According to reports by the Standard, the documents were from Service Assicurativi Del Comercio Estero (SACE), an Italian Government-owned insurer.
The firm was allegedly paid ksh11.1 billion as the insurance premium for a loan to build the Ksh65 billion dams.
Insurance premiums paid to SACE showed the price for the Arror Multipurpose Dam project was Sh6.1 billion while another Sh5 billion was paid against the Kimwarer Multipurpose Dam.
Detectives who were in Italy met with officials from the firm adding that action will be taken soon.
Treasury Cabinet Secretary Henry Rotich was questioned by sleuths as they sought to learn why SACE charged 17.5 per cent of the loan amount as a premium when rates averaged 1.5 per cent.
Kenya is said to have paid 15 times over the fair rate to the Italian Government-owned credit insurer for insuring the loans.
CS Rotich told detectives that the Ksh11.1 billion was as an insurance policy covering 100 per cent of the principal and interest against any potential financial risks.
He stated that his ministry was not involved after the processes of project identification, prioritization and procurement were completed.
At least four charges are awaiting individuals, including top Government officials found culpable by investigators.
They include conspiracy to commit an economic crime, aiding the commission of economic crime, abuse of office and negligence of official duty.
JOIN OUR PULSE COMMUNITY!
Eyewitness? Submit your stories now via social or: