Inside intrigues of Ezra Chiloba’s suspension as CA boss
There is conflicting information on exactly why Director General (DG) of the Communications Authority of Kenya (CA) Ezra Chiloba was suspended by the Board Chair Mary Mungai and Christopher Wambua appointed in acting capacity.
While the Board pointed out conflict of interest after an audit report was released including applying for and approving his own loan, Insider Information indicates that some members of the board are allegedly out to clip Chiloba’s wings in a bid to front their own interests including outsourcing of mortgages from banks .
According to an audit report Chiloba applied for and self-approved a mortgage loan to facilitate the purchase of property between himself and one Jacob Wakhungu without subjecting transaction details to interrogation by a higher authority.
Chiloba is alleged to have purchased a house and a 7 acre piece of land which is beyond the 1 acre limit violating the Civil Servants housing scheme requirement
The report Reads in Part ”…the Authority remitted the amount 25,000,000 to an account held at equity bank in the name of Kitale hillmost limited, as per the sellers instructions. Further inquiry to establish the identity of the seller revealed the sole shareholder and director of Kitale hillmost Ltd as Ezra Chiloba who is also the buyer ….”
While Private valuers placed the property at 25 million shillings, government valuers concluded the property’s value to be 16.72 million shillings meaning the property was overvalued by 8.28 million shillings.
Former CA Director who is now the Secretary to the Cabinet Mercy Wanjau has an outstanding mortgage of 18.38 million. 63.6 % of the total outstanding mortgages.
The Investigation also revealed that the scheme re-financed members for loans without evidence that they were undertaking upgrades on their houses.
The Investigations recommended that CA should outsource a Mortgage Administrator which is mainly done by banks in Kenya as it lacks the competence to appropriately manage the staff mortgage scheme.
But there is more than meets the eye.
Insider information intimated to NTV that Chiloba’s suspension is a witch-hunt to edge him out as he had asserted authority to streamline perennial issues of graft within CA.
The outsourcing of mortgage according to sources within CA is because some Board members have interests in certain banks, where the mortgage should be transferred to in order for them to cut personal deals.
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