• The Judge dismissed claims that the over Sh300 million deposited in their accounts was rightfully deposited by NYS.
•Ngugi said the funds were deposited fraudulently and the properties they purchased in the period they obtained the funds from NYS are therefore proceeds of crime.
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High Court judge Mumbi Ngugi has said five properties and one motor vehicle owned by the Ngirita family be forfeited to the state.
The Judge dismissed claims that the over Sh300 million deposited in their accounts was rightfully deposited by NYS.
Ngugi said the funds were deposited fraudulently and the properties they purchased in the period they obtained the funds from NYS are therefore proceeds of crime.
The properties include a parcel of land in Waitaluk in Kitale, measuring 0.70 hectares and registered in the name of Sylvia Ajiambo Ongoro.
Ngugi said Phylis Njeri Ngirita, Lucy Wambui Ngirita and Jeremiah Ngirita were mere minnows in the entire scheme to rob the public of the NYS funds but that does not mean they should not be pursued for recovery of the funds.
“What is expected of the Agency and other state agencies charged with investigation and corruption offences as well as with recovery of ill-gotten wealth is that they will pursue the other beneficiaries with the same vigour and subject them to similar proceedings to recover the public funds lost in nefarious schemes such as were perpetrated at the NYS,” she said.
Mumbi ruled that the Sh400 million deposited into the Ngirita’s accounts by the NYS was done fraudulently and that the properties the family bought in the period they obtained the funds from NSY are proceeds of crime.
The Ngiritas have to demonstrate that the properties were not purchased from proceeds of crime and that the Sh400 million deposited in their accounts from the NYS were proceeds of legitimate business.
The Ngiritas explained that they started small supply business in 2002, 1996 and 2003 . They then grew the businesses into huge enterprises with several divisions and that they have cultivated and supplied vegetables and fruits including maize, cabbages tomatoes, water melons and bananas to the NYS and other entities. They also claimed to have supplied uniform, firewood, bread, mandazi and mahamri to the NYS and without their efforts, sometimes done in difficult circumstances, 10,000 youths recruits at NYS camps would starved.
They presented documents to prove he same but some dated back to 2004-2005. In the case of Phylis, for instance, she said she supplied goods worth Sh38 million to NYS.
An analysis of the four LPO’s that Phylis, trading as Njewanga Enterprises relies on, shows that the total amount supported by evidence is Sh5.8 million and not Sh38 million .The LPOs were for the supply of watermelon and cabbages worth Sh1.5 million, English potatoes, watermelon and cabbages worth Sh1.2 million, watermelon worth Sh3 million and cabbages, onions and greengrams worth Sh 785,060 making a total of Sh5.8 million. Other bulk of documents were produced in court.
Mumbi in considering the claims made by the Ngirita’s said none of the documents explain the vast sums of money deposited in the accounts between 2015 and 2018.
The Ngiritas claimed to have grown their entities into huge enterprises but did not produce evidence.
“Huge enterprises with divisions and compartments have books of accounts, stock registers, audited accounts and tax returns. And to be able to supply goods worth in excess of Sh400 million, one would expect to have warehouses where the stock is kept,” said Mumbi.
The Assets recovery agency lodged the case in court seeking forfeiture of the cars and properties on grounds that they were proceeds of crime. The parcels of land are situated in Naivasha, Nakuru and Kitale.