EACC issues final verdict on Ezra Chiloba graft case
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Relief for Chiloba as EACC clears Ezra Chiloba of graft case on mismanagement of mortgage scheme
Relief for Chiloba as EACC clears Ezra Chiloba of graft case on mismanagement of mortgage scheme.
The Ethics and Anti-Corruption Commission (EACC) has cleared former Communications Authority of Kenya (CA) Director General Ezra Chiloba on allegations of mismanagement of staff mortgage schemes in the authority.
In a letter to CA Director General David Mugonyi, EACC said the investigation established there was insufficient evidence in the allegations leveled against Chiloba.
“The investigation established that there was insufficient evidence to support the allegation against Ezra Chiloba and other officials of the Authority. This is therefore to bring to your attention that the matter was closed with no further action pursuant to Section 25A of the ACECA of 2003,” the letter read in part.
EACC recommended the authority to review its Human Resource Policy and Procedure Manual and update it to be in line with the Communication Authority HCA Circular Number 1B of 2021 dated 23 March 2021.
Chiloba was in September 2023 suspended from CA over misuse of Sh662.4 million CA Staff mortgage scheme.
A Special Board Audit and Risk Committee (BARAC) report considered by the CA board established that there were defaults to the tune of Sh28.9 million for mortgages approved and granted without consideration of the contract term of employees.
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The report further brought to the fore a Refinancing mortgage to the tune of Sh364.8 million for staff who lack evidence of the upgrades and/or improvements for their purchased and/or construction houses.
There was also a Material Variance of more than 20% in Property Valuation between the government and privately contracted valuers and an understatement of loan balances for former staff of the Authority.
Further, the audit established inadequate approvals of Architectural Plans/Designs for Construction Mortgage Facility therefore exposing the authority to abuse of the facility and financial risk.
On October 19, 2023, Chiloba resigned as the authority’s Director General and was replaced by Christopher Wambua in an acting capacity before ICT CS Eliud Owalo appointed Mugonyi to the role.
On March 8 President William Ruto appointed Chiloba as Consul General in the United States.
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