EACC Arrests Contractors Over Procurement Irregularities At Matili Institute

By Tony Wafula

The Ethics and Anti-Corruption Commission (EACC) has arrested three directors of Ramagon Construction Company Limited, Abdi Barre Abdi, Hassan Bare Abdi, and Nagenye Mohamud Dahir, in connection with investigations into procurement irregularities and fraud related to the construction of a twin workshop complex at Matili Technical Training Institute (MTTI) in Bungoma County.

According to the EACC, the company directors conspired with public officials to irregularly inflate the original contract value from Sh29.3 million to Sh59 million, resulting in overpayment for services that were not rendered. The suspects are also accused of falsely claiming a further Sh9 million, which led to the fraudulent auction of Matili Institute’s driving school motor vehicle, valued at Sh5.4 million, for only Sh1.2 million.

The suspects were apprehended in Bungoma, had their statements recorded, and were later escorted to EACC Headquarters for further investigation. They were also taken to their residences, where detectives, armed with court orders, conducted searches and seized documents and equipment believed to be linked to the Matili tenders.

The Commission said it will submit its findings to the Director of Public Prosecutions (DPP) with recommendations for criminal charges and asset recovery. Bungoma High Court Judge Lady Justice Rose Ougo had earlier declined to issue orders sought by EACC to stop the auction of Matili Technical Training Institute, thereby allowing the contractor to proceed with the planned auction.

On Friday, students and activists in Bungoma County expressed shock and outrage at Justice Ougo’s ruling, which permitted Ramagon Contractors to seize and auction the assets of Matili Technical Institute over a debt that the Ethics and Anti-Corruption Commission had strongly opposed in court, terming it fraudulent and non-existent.

The contractor seized and sold the institute’s training tools, electronic equipment, power generators, and food supplies after the auctioneer’s proclamation notice expired on Thursday. In its court papers, EACC revealed that its investigation uncovered a deceptive scheme by Ramagon Construction Company to falsely claim money for a debt that had already been settled in 2017.

Matili Institute currently enrols over 10,000 students across various courses. The Commission said that upon completion of the investigation, it would recommend the criminal prosecution of the suspects and file a suit for the recovery of the public assets.

The situation has left the institute in a critical state, with growing concerns among stakeholders and local leaders about the potential closure of the school. EACC has since moved to court seeking to invalidate the claim by Ramagon Construction Company, terming it fraudulent and non-existent.

Matili Institute students, led by Tom Masibo, condemned the court decision allowing the contractor to proceed with the auction, arguing it is an injustice.

“The court decision clearly highlights significant injustices within the judiciary system,” Masibo stated. “The decision to side with the contractor and allow the auctioning of our institution is not only unethical but also a violation of the rule of law.”

Masibo further emphasised that Matili Institute serves students nationally, and its accreditation would be a major blow to the thousands enrolled in various courses. “This is a national institute. It has accommodated students from all over the country; therefore, if the auctioning proceeds, over 10,000 students will be affected,” he said.

The students applauded the school Principal, Judith Sande, for collaborating with stakeholders, students, the County government, and the Ministry of Education to develop the institution. “During the President’s last tour in Bungoma, he promised to elevate Matili to national status. We really need all the support to realise that dream, not have the institute auctioned,” Masibo added, stressing that the rogue company should not tarnish Matili’s reputation.