Why Ezra Chiloba was suspended, CA reveals

Communications Authority of Kenya (CA) Director General Ezra Chiloba was suspended over alleged abuse of the authority’s mortgage scheme, the authority has revealed.

A report of a ninth special Board Audit and Risk Assurance Committee (Barac) meeting held on August 8, 2023, indicates that Chiloba alongside nine others “fundamentally breached their obligations arising under the contract of service”.

Chiloba is accused of, one, applying for and self-approving a mortgage loan without exercising due process. The loan was to reportedly facilitate the purchase of a property between Chiloba and another individual.

Secondly, the suspended Director General is said to have purchased a house and acquired land of seven acres beyond the allowed one acre limit under the Civil Servants Housing Scheme requirement.

On matters regarding the loan application process, the authority says no due diligence was exercised leading to the omitting of relevant information.

“The loan application was approved by a junior staff member and there is no evidence to support that fact that the junior staff member carried out requisite due diligence and advice management including but not limited to the relationship between the seller and the buyer and the size of the property,” read the report.

In addition to that, questions were raised after it was noted that the authority remitted money to a bank account held by Chiloba under the company name Kitale Hilmost Ltd. who was also posed as the buyer.

“Further interrogation to confirm the identity of the seller vide a query through the Companies Registry revealed the sole director and shareholder of Kitale Hilmost Ltd as Ezra Chiloba Simiyu, who is also the buyer. These actions amount to an offence in accordance with Section 41 and 42 of the Anti-Corruption and Economic Crimes Act,” it read.

Chiloba is also accused of misconduct while in office.

“Being that the Director General is the Accounting Officer for the Authority, the conduct and integrity of the office holder when viewed against the provisions of Sections 11, 12 and 13 of the Leadership and Integrity Act is found to be in contravention of the same and in breach of the Code of Ethics which amounts to misconduct for which he may be subjected to disciplinary proceedings as per Section 45 of the Employment Act 2007.”

Following the suspension of Chiloba as CA’s Director General, Christopher Wambua was appointed to the position in acting capacity in an announcement made by CA Board Chair Mary Mungai.

 

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