The anti-graft agency has cleared the ousted director-general for the Communications Authority of Kenya (CA) Ezra Chiloba of allegations of mismanagement of the regulator's staff mortgage scheme.
The Ethics and Anti-Corruption Commission (EACC) cited a lack of sufficient proof to support the allegations made against Mr Chiloba and other accused officials.
"The investigation established that there was insufficient evidence to support the allegation against Ezra Chiloba and other officials of the Authority," said EACC in a letter dated April 4 but released on Thursday.
Mr Chiloba was suspended indefinitely in mid-September following allegations of abuse of office and conflict of interest. He resigned a month later.
EACC head of investigations Pascal Mweu had demanded several documents from CA in a letter dated September 28 to facilitate the investigation.
The letter asked the then acting director-general Christopher Wambua to provide the Treasury audit reports, the authority's mortgage loan policy and loan book and the authorised panel of valuers to aid in the investigation into the abuse of the scheme.
According to the anti-graft agency, the valuers provided a valuation that did not match the government's valuation bringing suspicion to the authority.
Mr Chiloba was also accused of conflict of interest, which stemmed from his application and approval of his own mortgage, which was inflated by almost two-thirds and his acting as both buyer and seller in a transaction for which the authority paid Sh25 million.
Questions were raised after it was noted that the authority remitted money to a bank account held by Mr Chiloba under the company name Kitale Hilmost Ltd, who was also posed as the buyer.
He is also said to have purchased a house and acquired a seven-acre land beyond the allowed one-acre limit under the Civil Servants Housing Scheme requirement.
"This is to bring to your attention that the matter was closed with no further action pursuant to section 25A of the ACECA of 2003. However, we recommend that the Authority reviews its human resource policy and procedure manual dated February 2023," the EACC said in the letter addressed to the new director-general David Mugonyi.
President William Ruto last month appointed Mr Chiloba as the Consul-General for Los Angeles, US.
Before joining CA, Mr Chiloba served as the CEO of the Independent Electoral and Boundaries Commission (IEBC) where he was again unceremoniously ousted in June 2018. He reclaimed his post through the courts. He was later fired from the IEBC in October 2018.
