Kamanis ordered to surrender passports over Anglo-Leasing

Three members of the Kamani family have been given two weeks to surrender their travel documents after being charged on Thursday over the multi-billion shilling Anglo-Leasing scandal.

Billionaire businessman Deepak Kamani, his father Chamanlal and brother Rashmi face three counts of fraudulent acquisition and are accused of receiving Sh701 million for security contracts through Infotalent, Sound Day and Apex Corporation and not delivering services.

Magistrate Hannah Ndung’u on Thursday declined a request by Chamanlal and Rashmi to keep possession of their passports on account of frequent medical checkups and work commitments outside the country.

The magistrate argued that Chamanlal, 84, will have to face the same treatment as the other 13 suspects including two former Finance ministers despite his age and health status.

Rashmi lives and works in the United Arab Emirates (UAE).

“I decline the request by Rashmi for the very reason that he is domiciled in the UAE. I also decline the request by Chamanlal because age alone does not guarantee one preferential treatment. The passports are to be deposited in 14 days,” said Ms Ndung’u.

The Anglo Leasing affair, which involved contracts being awarded to phantom firms, became public in 2004.

A previous legal case fell apart in 2005 because of lack of evidence. Anglo Leasing Finance was paid about Sh30 billion to supply the Kenyan government with a system to print new high-technology passports.

Other fictitious companies involved in the scam were given money to supply naval ships and forensic laboratories.

None of the contracts was honoured and on Wednesday seven individuals, including key politicians and former senior civil servants, were charged with breach of public trust. The seven include Kisii senator Chris Obure.

Former Finance minister David Mwiraria’s arraignment was postponed to March 18 after he was admitted to Karen Hospital on Tuesday night.

READ: Mwiraria hospitalised as Anglo Leasing suspects are charged

The Kamanis lawyer, Ahmednasir Abdullahi, told the court while requesting for custody over the travel documents that Rashmi’s wife also lives in the UAE and has a medical condition that will require him to travel back.

He added that Mr Chamanlal was sickly and goes for regular medical checkups in India, hence should be allowed to keep his documents.

But Director of Public Prosecutions Keriako Tobiko held that the absence of an extradition treaty between Kenya and the UAE makes Rashmi flight risk in the event he opts not to attend the trial.

“There is no extradition treaty between Kenya and the UAE. Once you are charged, you are subject to lose freedom to the extent the court decides,” Mr Tobiko said.

Chamanlal will, however, be released on a cash bail of Sh2 million or bond of Sh10 million, while Deepak and Rashmi will be released on Sh4 million cash bail each and similar bond to that of their father.

Ms Ndung’u has also issued summons for three companies associated with the Kamanis, and believed to have been used to defraud the government of over €99 million (Sh10 billion).

Mr Abdullahi on Thursday said he was representing Apex Finance Corporation, Infotalent Limited and Sound Day Corporation, but there was no official from the firms to plead to the charges.

“A summons is issued to the three companies on March 18 for plea taking,” the judge said.