Mr Chavangi was suspended following his arrest in 2018 on suspicion of corruption over land allocation for the Nairobi-Mombasa standard gauge railway (SGR).
His suspension has made it difficult for NLC to have a substantive chief executive officer, a freeze that has derailed executive decisions at the commission.
Former NLC chairman Mohammad Swazuri and six other officials were arrested in 2018 over compensation for land acquired for construction of SGR.
The State is negotiating a payout with the chief executive of the National Land Commission (NLC) facing graft charges to resign and pave the way for the appointment of a new head.
The acting National Land Commission CEO Kabale Tache told MPs that Tom Chavangi’s contract ends in 2023.
Mr Chavangi was suspended following his arrest in 2018 on suspicion of corruption over land allocation for the Nairobi-Mombasa standard gauge railway (SGR).
His suspension has made it difficult for NLC to have a substantive chief executive officer, a freeze that has derailed executive decisions at the commission.
“The commission is unable to fill the post substantively because the term of the substantive CEO expires in July 2023.
“The commission is negotiating an exit package for him,” Ms Tache said.
She told National Assembly’s Public Accounts Committee (PAC) that the commission has consulted the Attorney-General on the exit of Mr Chavangi.
“The best practice is that an officer should not act for more than six months. I have been acting for three years and the period could extend since the commissions’ hands are tied by the law,” she said.
Former NLC chairman Mohammad Swazuri and six other officials were arrested in 2018 over compensation for land acquired for construction of SGR.
Police also arrested the Mr Chavangi and former Kenya Railways boss Atanas Maina.
According to the anti-corruption agency, the investigation that led to the arrests centres on allegations that officials siphoned taxpayer money through phoney compensation claims.
Yesterday, Ms Tache told the Opiyo Wandayi-led committee that the National Treasury had appointed her an accounting officer for the NLC with full powers.
“I have been appointed as an accounting officer by the National Treasury and I perform all duties of an accounting officer on matters of finance. I perform all duties of the CEO and all my actions have full force of law,” she said.
Mr Wandayi wondered how the NLC would run for five years without a substantive CEO.
“I am surprised the NLC chief executive officer stays in office for a five-year term when most State corporations’ bosses serve for a three-year renewable term,” he said.
Ms Tache said unlike most State corporations, the CEO serves for a five-year term which is renewable once.
“This motivates and gives a sense of security to the CEO,” Ms Tache said.
