Mathira MP Rigathi Gachagua could lose more than Sh200 million in his bank accounts if the anti-corruption court allows the government to seize the cash.
The Asset Recovery Agency has asked the court to declare the money in four bank accounts at Rafiki Microfinance Bank as proceeds of crime and forfeit it to the state.
Three accounts separately have Sh165 million, Sh35 million and Sh773,228 in them. A fourth bank account in the name of Jenne Enterprises has Sh1,138,142.
In its application filed in court on Wednesday, the agency said the law allows for forfeiture where an order of preservation is already in place.
On March 30, the agency received information involving alleged complex money laundering schemes involving public funds.
The money was allegedly siphoned from various entities including Lands ministry, State Department for Special Planning, Health ministry, Bungoma county government, Mathira CDF, Nyeri county government and the National Irrigation board among others.
Consequently, the agency opened an inquiry file and started investigations.
It applied for and was issued with warrants to investigate suspect entities and accounts believed to be owned or associated with Rigathi, Anne Kimemia and Jenne Enterprise.
Investigators established that between 2013 and 2020 the MP's personal account had huge suspicious debit transactions amounting to Sh7,330,011,256 and total credit of Sh12 billion. The agency believes the funds are proceeds of crime.
“…Within the said period, account at Rafiki Microfinance Bank in the name of the 1st respondent, Rigathi Gachagua, operated as a collection account conducted several suspicious transactions and received suspect funds from the companies/business entities which had received huge suspicious payments from National government ministries, agencies and county government,” the agency said in its suit papers.
For example, on May 9, 2013, the MP’s account received an internal transfer of Sh10 million; on May 13, 2013, it received another internal transfer of Sh30 million and on May 24 it received Sh24 million.
On January 7, 2014, the MP transferred Sh100 million to another fixed deposit account. On 8, July 2014, the MP is said to have received Sh65 million from an account in the name of Specific Supplies.
Again on June 16, 2015, the account belonging to the MP received Sh165 million from another account held by the MP.
