Former E&Y boss seeks evidence in Sh450m compensation suit

Former Ernst & Young partner and public sector boss Laban Gathungu now wants the audit firm to produce a raft of documents that led to the termination of his partnership as he seeks Sh450 million from EY Kenya.

In a letter to Ernest & Young LLP, Mr Gathungu wants the firm to produce notices of council of partners calling for meeting, their resolutions for them to consult EY Africa Executive and to look into the corruption allegations raised by a whistleblower.

He is also asking for evidence by the partners to invite EY South Africa to undertake the audit.

“Take notice that you are hereby required to produce and show to the court at the first hearing of this suit all books, papers, letters, copies of letters and other writings and documents in your custody, ” reads a letter by his lawyers Wambugu & Muriuki Advocates.

Mr Gathungu, who was removed as a partner over corruption allegations by a whistleblower, accuses the audit firm of reducing his profits by 27.4 percent following alleged advice from E&Y South Africa.

“Our client had reasonable and legitimate expectation to work with his fellow partners and grow in the firm, continuing to grow his capital in the process until his expected retirement age of 60 years,” he said through his lawyer.

The graft claims stem from a 2018 consultancy tender E&Y bagged to oversee the drought resilience and sustainable livelihoods programme in Somalia, a government project funded by several donors.

Mr Gathungu was in charge of the project.