Lives may have been lost in NHIF crimes, says DPP

Former NHIF CEO Simeon Kirgotty (rightt),CEO Geoffrey Mwang (second from right),company secretary Ruth Sudoi Makalllah and Pamela Nyaboke Marendi at a Milimani law court on Monday,December 10 where with other individuals were charged with corruption at the institution. PHOTO/COLLINS KWEYU
Former NHIF CEO Simeon Kirgotty (rightt),CEO Geoffrey Mwang (second from right),company secretary Ruth Sudoi Makalllah and Pamela Nyaboke Marendi at a Milimani law court on Monday,December 10 where with other individuals were charged with corruption at the institution. PHOTO/COLLINS KWEYU

Thousands of patients might have lost their lives following the misappropriation of over Sh1 billion at the National Hospital Insurance Fund, the court heard yesterday.

The DPP told the court that the offenses before court were very serious and should be equated to murder considering that a lot of people might have passed on due to the loss of funds at NHIF.

Deputy DPP Emily Kamau was addressing the court yesterday in the case where 18 officials of the NHIF and the two directors of Webtribe Ltd were arraigned in court and they all denied several charges related to economic crimes.

Kamau said that even though they were not opposing bail, the offenses that the accused committed were very serious and carry a serious sentences.

Former CEO Simeon Kirgotty, Immediate former CEO Geoffrey Mwangi, General Manager Finances and Investment Ruth Makallah and Manager Legal Affairs Pamela Nyaboke were charged with engaging in a project without prior planning and it was alleged that they engaged in the procurement of an integrated revenue collection services valued at Sh49 million from Webtribe without prior planning.

They were also charged with other offenses including abuse of office, breach of trust, willful failure to comply with the law relating to procurement

Also charged alongside Mwangi were Mudzo Nzili, Yussuf Ibrahim and Elly Opot who were members of the audit committee and it was alleged that they failed to disclose material facts in regard to extension of contract for provision of revenue collection to NHIF which led to the loss Sh200 million.

Gibson Muhuhu, Millicent Mwangi,Matilda Mwangemi and Darious Phillip Mbogo who were members of the tender committee were also charged with failing to review, verify and ascertain that the procurement was undertaken in accordance with the terms set out.

Fredrick Sagwe Onyancha the receptionist alleged to have bought 8 houses worth Sh20 million each was also charged for allegedly failing to comply with laws relating to procurement.

Webtribe Limited Directors Dan Muchemi and Robert Muna were also charged with fraudulent acquisition of public property and it was alleged that they acquired Sh1 billion of public funds from NHIF.

Anti-Corruption Chief Magistrate Douglas Ogoti was told that the offenses are enablers of serious offenses where tax payer’s money is siphoned.

Kamau said that even though they were not opposing bail, it was important for the court to consider that lives have been lost due to lack of proper cover occasioned by the alleged looting at NHIF.

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State Counsel Victor Owiti also pleaded with the court to give the accused stringent terms and conditions that are commensurate with amount.

Owiti also said the court should also consider that economic crimes are a class apart, serious than murder or robbery with violence.

However, the defense lawyers strongly opposed submissions by the prosecution arguing that the charges that were before court were not about murder but corruption and the prosecution should not stir up the emotion of the court.

Led by Lawyer Tom Ojienda they pleaded with the court to release them on reasonable bail arguing that there clients will abide by conditions given.

Ojienda informed the court that Kirgotty is under treatment for blood pressure and is frequently traveling for treatment and will need his passport.

"If the offense is serious than murder or treason which are heard by high court, are they inviting this court to hear a matter that is above its discretion as a subordinate court?" Nyakundi.

In his ruling, Ogoti released them all bail and directed them to deposit their passports before court and further barred them from accessing their offices until the case is heard and determined.

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However, the proprietors of Jambo Pay were the only ones allowed to access their offices since they handle other accounts that are not related to NHIF. This is after their lawyers told court that they manage other businesses apart from NHIF.

Earlier in the day, there was a light moment in court when Ojienda informed court that Webtribe had not eve been paid and they earn a small percentage of the whole amount awarded. He furher said that if the directors switched off their systems at NHIF they would shut down.

Mwangi ,Kirgotty and the directors of Webtribe all released on Sh 3 M bond or Sh 2 Million cash bail while Sagwe and two others who were charged with only one count have been ordered to deposit Sh 500,000 bail.

All the other 13 civil servants will each deposit Sh 1 Million bail.

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