DCI sleuths recover cash in EPRA DG Kitoo, KPC MD Sang and Petroleum PS Liban arrest in fuel quality probe

The Directorate of Criminal Investigations (DCI) sleuths are holding Petroleum Principal Secretary Mohamed Liban, Kenya Pipeline Company (KPC) Managing Director Joe Sang, and Energy and Petroleum Regulatory Authority (EPRA) Director General Daniel Kiptoo over an alleged scheme to approve substandard fuel, raising fresh concerns about oversight and supply integrity amid global market pressures.

A fourth suspect has also been arrested, though authorities have yet to disclose their identity.

They were detained at Mazingira Complex, DCI headquarters for questioning.

Loads of undeclared amounts of cash were recovered during the simultaneous raids in the homes of the trio.

The Informer Media Group established that Kiptoo spent the night at Gigiri Police Station while Sang was detained at Capitol Hill Police Station while PS Liban was rushed to a city hospital.

They were arrested alongside Petroleum Deputy Director Joseph Wafula for questioning over alleged irregular procurement of substandard fuel.

Investigators say the arrests stem from allegations that the officials cleared fuel that failed to meet Kenya’s quality standards, particularly due to high sulphur content.

The consignment, reportedly sourced to cushion the country against potential shortages linked to tensions in the Middle East, was rejected by a quality assurance manager at KPC after tests.

Sources indicate the officer resisted pressure to approve the offloading and escalated the matter, triggering the probe.

Detectives conducted overnight raids on the suspects’ homes, recovering documents and substantial sums of money.

More officials are said to be under investigation.

The case comes as Kenya faces mounting pressure on fuel supply chains due to the ongoing conflict in the Middle East. While authorities insist current stocks remain stable—standing at about 16 days for petrol, 19 days for diesel and 49 days for jet fuel—concerns persist over future price increases.

The government has relied on a government-to-government fuel import deal with Gulf firms to stabilize supply and the shilling. John Mbadi said suppliers are sourcing fuel from alternative regions such as Europe and India to avoid disruptions.

Meanwhile, President William Ruto has warned that global oil price shocks could soon push local pump prices higher, with the government planning to tap the fuel stabilisation fund to cushion consumers in the short term.