Kidero transactions were regular, says bank witness

A witness yesterday told a Nairobi court that financial transactions by two companies charged with graft were normal.

Lodwar Wholesalers Limited and Ngurumani Traders Limited are charged in the Sh213 million graft case against former Nairobi boss Evans Kidero and nine others.

Those charged alongside Kidero include former county secretary Lilian Ndegwa, former chief finance officer Jimmy Kiamba and former Finance and Planning executive Gregory Mwakanongo over the alleged loss of  Sh213 million.

Nkatha Mirero, a manager at Kenya Commercial Bank, explained the transactions to anti-corruption magistrate Douglas Ogoti.

The manager said the payments were normal because there was documentation to support the payments. The money was transferred from the two firms to Kidero and his former head of accounts Stephen Osiro. It was deposited into Kidero’s Family Bank account and Osiro’s NIC Bank account. 

“No adverse report was made against the companies or the two accused persons. The two companies had corporate accounts with overdrafts facilities,” she said.

When reexamined by assistant DPP Gitonga Riungu, Mirero said the purpose of the transactions was indicated as payment of sugar.

Kidero is alleged to have received Sh24 million from Lodwar Wholesalers Limited in two installments in August and September 2014.

The charges state he received Sh14 million on August 24 and another Sh10 million on September 11.

The witness said there were no payments to the Nairobi City Council account during that period. The account instead had a negative of Sh22 million.

During yesterday’s proceedings,  parties in the case were barred from posting content of the case on social media. The magistrate said he will give a full ruling on the same today.

Other co-accused are former head of accounting Stephen Osiro, acting chief finance officer Luke Gatimu and acting head of Treasury Maurice Okere. They all denied a total of 35 counts.

(Edited by N. Mbugua)