Akif Hamid Butt
Anthony Wafula
Big Men
Boniface Mwangi
Celtel International
Cliff Ombeta
Commercial Bank of Africa
Confederation of Consumers of Kenya
David Luganya
Devolution Cabinet
Duncan Muchai
Eugene Wamalwa
Faku Uhuru
Forbes Africa
Gilbert Kirunja
Isaac Wajekeche
Joseph Waswa
Merali’s Sasini Tea
Mo Ibrahim
Naushad N. Merali
NIC Bank
Rashid Echesa
Sameer Africa
Sameer Group
Senior Counsel Paul Muite
Sexually Transmitted Degrees
South Africa
State House
Uhuru Kenyatta
William Ruto
William Simiyu

Why Merali should face 10-year jail term for bribery

Dr Naushad N. Merali is not your ordinary businessman. The billionaire serves ad chairman of Sameer Group. The reputed Forbes magazine ranks him among the richest men in Africa.

Apart from the Sameer conglomerate, Merali’s interests include a stake in Commercial Bank of Africa (CBA), which is majority-owned the Kenyatta family. The lender is in talks to buy NIC Bank.

His high-level business and political connections are not in doubt and date back to the Moi days and blossomed under Kibaki.

So much so that when the government chose to put up a retirement home Kibaki at Mweiga in Nyeri, Merali’s Sasini Tea donated 1,000 acres. The two are business associates.

Kibaki does not, however, reside at Ksh 500 million home after opting to retreat to his Muthaiga residence after handing over State House to Uhuru Kenyatta who had won the March 4, 2013 presidential contest.

His business acumen is also not in doubt. In 2004, he is fabled to have made a cool Ksh 2 billion in an house after exercising his preemptive rights to buy 60% of Kencell.

In the deal, Vivendi, its co-shareholder – wanted to sell its stake to South Africa’s MP but Merali talked it out of it. But because he did not have the money MTN was ready to off – the two had already signed a contract, he reached out to fellow business magnate Mo Ibrahim to lend US$230 million. A

As Vivendi its way to the bank, Merali sold the same shares to Mo Ibrahim’s Celtel International for US$250 million in a span of hour.

With such an impressive resume and high-level connections, one would expect that Merali knows his way around town, including in the top echelons of power.

It, therefore, came as a shock to many when seven young men were arrested and later charged for impersonating President Uhuru in a bid to secure Ksh 80 million facilitation fee for a land deal in Nairobi’s Milimani area. Not many of us knew the man who occupies the House on the Hill works as a land broker on the side.

The seven’s cover was blown after the man sent by Merali to execution of the deal got suspicious after sending the first Ksh 10 million.

Joseph Waswa, Duncan Muchai, Isaac Wajekeche, William Simiyu, David Luganya, Gilbert Kirunja and Anthony Wafula were charged for defrauding Sameer Africa Finance Director Akif Hamid Butt of Ksh 10 million between January 24 and February 1. They denied the charges and were released on a Ksh 20,000 each.

Lawyer Ahmednasir Abdullahi and activist Boniface Mwangi want Merali also prosecuted for bribery, a position supported by Senior Counsel Paul Muite.

“Merali is not a child: he is a 68 year old man who in 2012 according to Forbes Africa’s richest is worth 410 million dollars. He is President Moi’s business partner in some investments. Merali has been mentioned in the Kroll and the Goldenberg reports on how Kenya was looted by Moi,” Mwangi wrote in a hard-hitting post on his Facebook page.

“Merali was paying a bribe to Uhuru for a tender and it is clearly something he has done for many years. Merali owns the Sameer Group and is an 18% shareholder of Commercial Bank of Africa. So Merali knew it wasn’t unusual for a sitting Kenyan President to ask for a bribe,” further wrote.

But Mwangi, in the same breath, opines that bribe giving had routine in Kenya making it one of the most corrupt countries in the world

“We bribe police officers to let us free, teachers to give us good marks, lectures with our bodies to get Sexually Transmitted Degrees. Kenya is a one of most corrupt countries in the world,” adds Mwangi in his post.

According to the Bribery Act 2016, giving, receiving or engaging in activities that enable bribery attract conviction to imprisonment for a term not exceeding 10 years, or to a fine not exceeding Ksh million, or both. In addition, the courts may impose an additional mandatory fine if the person incurred quantifiable loss or benefit. Under the law, Butt is equally, therefore, liable for the offence.

Also left wonderment of how a high-flying figure such as Merali could easily fall for a dubious deal is the Confederation of Consumers of Kenya (Cofek), which says it can only happened if the President has never called him using his direct line, which is unlikely.

“… he probably has never been called directly by President Kenyatta. And that would explain potential excitement which his scammers over-exploited,” the watchdog notes.

The suspects are alleged to have registered a Safaricom line, 0722 208842, in his name. According to Cofek, if the President had previously called, Merali would probably have saved his number.

In court, the suspects’ lawyer Cliff Ombeta claimed the number belonged to Uhuru and that he had been tongue-lashed through it prior to the incident. He said he should be called as a witness.

But other telltale signs that would have made the businessman smell a scam include why he was calling only when was abroad as well as the amount of money involved. It says it is unlikely the President would be involved in small business deals, claiming some of his aides go for bigger ones.

Cofek also questions why Merali did not issue instructions to lawyer or professional advisers to deal with the issue and why he asked Butt to deposit cash instead of a cheque concluding he has most likely have been conned before but is yet to learn.

But the saga also brings to the fore the power aides to some influential government officials hold. It is a poorly kept secret that most of them have over the years minted riches by exploiting their closeness to power.

Most of the time, their strike deals with businessmen, investors and those seeking favours without the knowledge of the bosses. The rent-seeking is often couched in terms such as facilitation fees.

Most of those targeted are businessmen of Indian heritage as well as investors seeking procurement opportunities. The Chinese, especially those engaged in multi-billion deals, are said to be the most targeted.

Apart from official aides, influence peddling also entails hangerson who ride on their easy access to the Big Men – there are rarely women – to make money.

It was not, for instance, an exception that as soon as Waswa, the Faku Uhuru, landed in trouble, he was quickly linked to influential figures such as former Sports Secretary Rashid Echesa. Photos of him in the presence of other public figures such as Deputy President William Ruto and Devolution Cabinet Secretary Eugene Wamalwa followed.

How much currency one gets for simply being in the presence of such key personalities cannot be gainsaid.

But some of the public figures are also known to use close aides as conduits for corruption and other dirty jobs.

A few years ago, a former Cabinet minister rained blows in the parking bay of a government office after a man he had sent to fetch facilitation fees brought a lesser amount that the agreed amount. Apparently, the poor fellow had decided to help him to some of the case not knowing the boss knew how much he was supposed to bring.

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