A Nairobi court is set to resume hearings in the high-profile case against former Kenya National Trading Corporation (KNTC) Managing Director, Pamela Nduku Mutua, on 8 August. The case, which has drawn significant public and business interest, revolves around allegations of procurement irregularities at one of Kenya’s key state corporations.
In 2022, as Kenya grappled with soaring food prices due to supply chain disruptions and inflationary pressures exacerbated by the COVID-19 pandemic, the government, through KNTC, launched an ambitious bulk importation programme to stabilise food prices. Among the key commodities imported were edible oils, a move aimed at shielding Kenyans from the harsh global economic climate.
At the centre of this initiative was Pamela Nduku Mutua, who was appointed KNTC’s Managing Director. With extensive experience in procurement and supply chain management, she was tasked with ensuring that the edible oil procurement process complied with regulations while securing competitive prices for Kenyans.
However, by late 2022, concerns emerged over how KNTC was awarding contracts. Mutua was accused of failing to adhere to procurement laws in awarding contracts to Purma Holdings Limited, Multi Commerce FZC, Standard Petroleum LLC, and Makram Imports & Exports. Investigators allege that she bypassed key approval processes and failed to report the contract awards to the Public Procurement Regulatory Authority (PPRA), as required by law.
According to court documents, Mutua allegedly contravened Section 104(c) of the Public Procurement and Asset Disposal Act, 2015, which mandates obtaining requisite approvals before commencing procurement. Prosecutors argue that her actions not only breached legal provisions but also exposed the government to financial and reputational risks.
Additionally, on 16 November 2022, while serving as the Supply Chain & Logistics Manager, Mutua allegedly issued an arbitrary professional opinion deemed prejudicial to national interests. Prosecutors claim this opinion influenced the direction of the procurement process, further compounding the irregularities.
So far, six witnesses have testified against Mutua, painting a picture of a procurement process riddled with missteps. However, she has categorically denied the charges and maintains her innocence. She is currently out on cash bail of Ksh 1.5 million, awaiting the continuation of the trial.
Her defence team argues that she acted in line with government directives and that any procedural lapses were not intentional violations but rather a response to the urgency of the edible oil crisis at the time. They further assert that she was executing her duties in accordance with KNTC’s mandate.
