KEBS MD Njiraini among officials quizzed over release of Sh163million condemned sugar
Top officials from the national standardisation regulatory body, the Kenya Bureau of Standards (KEBS) among them Managing Director Bernard Njiraini were yesterday grilled by detectives over the controversial release of impounded Sh163million condemned sugar into the market.
Today, for the second day running, other KEBS officials are still recording statements with sleuths from the Directorate of Criminal Investigations (DCI).
Preliminary police findings show the condemned sugar was released to a trader who later repackaged and sold it to unsuspecting Kenyans.
Initial chemical analysis indicated the sugar was not fit for human consumption and should therefore be destroyed through burying or burning under supervision of experts.
“There is clear case of collusion between KEBS officials and the trader. The matter is under investigation. Some will be treated as principal masterminds while others are being considered as accessories to the crime.” A senior detective privy with the probe told The Informer Media Group.
Investigators want to establish on what basis inspection team from KEBS rescinded their earlier stand on the cargo to allow it to the market to be converted into ethanol.
The process of turning the product into ethanol can only be done at two agencies, which include Kenya Wines Agency and Agro-Chemical and Food Company Limited (ACFC).
Police said there is a gazette notice that elaborates on how such a product should be released to the agencies for conversion.
Those arrested and grilled said they were ordered to release the sugar and have it transported to Thika via SGR where it was to be repurposed.
This followed an opinion from the office of the Attorney General.
After Kenya Revenue Authority (KRA) got a request from KEBS to have the cargo turned into ethanol, the taxman wrote to the AG seeking their opinion on the same.
The AG explained the steps to be followed to convert the cargo to ethanol, which was apparently not followed in the latest developments.
Police recovered 14 out of 20,000 bags of the original sugar condemned as unfit for human consumption.
They argued that the security seals to the containers carrying the cargo were removed without their consent.
At least eight suspects who had been arrested over the sale of condemned sugar were released on police bond pending further probe.
The suspects included businessmen and a senior KRA deputy commissioner.
This came as it emerged that one Faith Kiara, Commissioner for Intelligence, Strategic Operations, Investigations and Enforcement ordered the release of the sugar.
In a letter dated April 28, 2023, to Vinepark Limited, the official said the consignment was detained to pave the way for further investigations and it had been found that the consignment was purchased via private treaty at a value of Sh1,000 per 50kilogram bag.
“We also note that your company was not the original owner of the consignment, and as such, the sales value inclusive of taxes was payable.” A letter signed by Kiara reads in part.
“We have further noted a demand letter was issued by Customs & Border Control department but there is no evidence of settlement of the same. Pursuant to the provisions of section 135 of EACCMA, kindly proceed to make the settlement within 30 days. In this regard, the detained consignment is hereby released to you.”
This was in response to the consignment, which was detained at Kings Commodities Limited warehouses located at Makongeni, Thika- along the Thika-Garissa Highway.
However, no taxes were paid and this is part of the contention the investigators are looking into.
