City Hall hit by planned Sh230million controversial payout to two handpicked garbage collectors
Asha’s name featured prominently during the recently botched impeachment bid against Sakaja as one of the compromises Sakaja made with Members of the County Assembly (MCA’s) to have her retained
A whiff of what insiders’ term as scandalous pilferage of taxpayers’ money is in the making at City Hall through planned controversial payments amounting to Sh230million involving two handpicked privately contracted garbage firms, The Informer Media Group can authoritatively reveal.
Our investigations have established that Nairobi County Chief Officer for Finance Asha Abdi has written to the office of the Controller of Budget (CoB) Dr. Margaret Nyakang’o requesting CoB to authorise Sh229,757,161 through exchequer to two privately contracted garbage collectors, Ace Global Limited and Lutong Machinery Resolution Company Limited.
Our investigations have since established that all the privately contracted garbage collectors by the Nairobi governor Johnson Sakaja’s led administration have since downed tools due to owed outstanding arrears amounting to over Sh600million.
According to planned payment vouchers and official records seen by The Informer Media Group, if Nyakang’o’s office approves the requested payout, Ace Global Limited and Lutong Machinery Resolution Company Limited will receive Sh79,419,161 and Sh150,338,000 respectively.
“We kindly request your office to authorise the payment of Ksh79,419,161 through our exchequer request REF: NRB/FIN/1/70/2025/2026 to Ace Global Limited and Sh150,338,000 through exchequer request REF: NRB/FIN/1/72/2025/2026 to Lutong Machinery Resolution Company Limited,” Asha told CoB’s office vide a letter dated September 8, 2025 referenced NCC/FIN/CGW/509/2025.
The planned payout to Ace Global Limited and Lutong has sparked internal inter-departmental strife with some officials recommending phased out approach in clearing outstanding debts owed to the garbage contractors through partial but staggered partial payments to all to ensure their full resumption.
“It is fishy to claim that there is a resolution between an office and two handpicked companies. All contracted solid waste collectors ought to have been invited for joint deliberations which they are open to ensure continuity of service provision and phased payments in clearing the monies owed to them. The resolution cited between only two firms is suspect including the amounts recommended for payment,” an insider privy to the goings on at City Hall who spoke on condition of anonymity intimated.
In the letter to the office of the CoB, Asha cited the resolution between her office and both Ace Global Limited and Lutong as the basis for her request.
Asha’s name featured prominently during the recently botched impeachment bid against Sakaja as one of the compromises Sakaja made with Members of the County Assembly (MCA’s) to have her retained.
The MCAs had demanded her dismissal as a pre-condition to drop their ouster bid against Sakaja.
Previously, Asha served as the CECM for Finance and Health in Isiolo County between 2013 to 2017.
She also served as CECM for Finance and Tourism in Mombasa County between 2017.
“The provision of solid waste collection services has stalled in most parts of the city due to non-payment for services rendered to contracted service providers. However, only two service providers (Ace Global Limited and Lutong Machinery Resolution Company Limited) have agreed to continue providing services despite the non-payment,” Asha added.
When contacted for comment, the Chief Officer for Finance was not immediately available for comment by the time of going to broadcast.
This comes at a time the Nairobi County government workers are on a go-slow since Thursday, September 18, 2025 following salary delays that have been plaguing the county employees for two months now since July this year.
Kenya County Government Workers Union (KCGWU), Nairobi branch Secretary Calvince Okello, in a memo urged the workers to slow down or stay at home henceforth until their salaries and remittances are paid.
“It’s quite unfortunate that today, being the 17th of September, 2025, Nairobi county staff are yet to receive their third-party remittances of July 2025 and August 2025 salaries, and there are no signs when the salaries will be paid. This is a gross contravention of the Return to Work agreement,” the statement read in part.
Garbage and legal fees have been cited as among the notorious fraudulent claims used to embezzle public money at City Hall.
In 2022, a select few companies were paid in excess of Sh2billion through repeated payouts.
According to records sampled by us, a total of Sh2,026,375,480 was repeatedly paid out in four tranches to the companies
Between May 4, 2022 to May 31, 2022, payouts amounting to Sh683million were made in favour of 42 companies involving 51 different transactions.
On April 25, 2022, a total of Sh296million was paid out on the same day to thirteen companies involving sixteen transactions.
From January 26 to March 23 this year, Sh754million was expended in favour of 48 companies in 55 different transactions.
Another Sh294million was paid to fourteen companies involving 19 different transactions made between July 1 and July 16 2021.
“The fraudulent schemes involve officials from the office of the governor, Treasury, Cash office, Accounts, Procurement and unscrupulous traders. They operate in a hotel located off Riverside Drive in Nairobi.” Our source intimated.
All the transactions, the beneficiary firms are a consistent denominator.
In 2019, the same companies were flagged by the Financial Reporting Centre (FRC) over suspected involvement in a multi-billion fraudulent procurement syndicate at the Nairobi County Government.
“The large cash declaration forms completed during cash withdrawals indicated the beneficiary of funds to be street boys employed to collect garbage,” a report by the FRC stated.
