Yatani denies Kenya secretly took out Sh139 billion Covid loan

In Summary

• The CS  said the article attributed the story to SEC, claiming that it had disclosed the deal between the Treasury and Kallo over the deal to upgrade health infrastructure.

• In a statement on Thursday, Yatani said that the article is misleading and malicious.

Treasury CS Ukur Yatani.
Treasury CS Ukur Yatani.
Image: FILE

Treasury CS Ukur Yatani has dismissed an article published in one of the local newspapers claiming that his ministry covertly secured a coronavirus loan amounting to Sh139 billion with a Belarusian and Canadian company.

In a statement on Thursday, Yatani said that the article, which appeared on the Business Daily, is misleading and malicious.

“Treasury wishes to categorically state that the CS Ukur Yatani did not enter into any loan contract…with a company by the name Kallo Inc. as claimed in the article and in the company’s filings with the US Securities Exchange Commission (SEC),” Yatani said.

According to the article which was published on Thursday, the deal was signed in June 2020.

It said the loan was a 20-year facility charged at two per cent plus Libor (London Interbank Offered Rate).

Yatani added that the article relied solely on regulatory filings by Kallo Inc., with SEC and did not incorporate any feedback from the Treasury even after asking for more time before responding.

The CS added that the article attributed the story to SEC, claiming that it had disclosed the deal between the Treasury and Kallo over the deal to upgrade health infrastructure in the country.

“There is no evidence that the SEC made such a disclosure to the public, which raises questions as to the accuracy and veracity of the story.”

Yatani has demanded the withdrawal of the article with immediate effect and an unequivocal apology be made.

He said that if the Treasury demands will not be met, the company will be forced to seek other remedial measures.