Economy

State seizes Sh30m from ex-PS Omollo

omollo

Ms Lilian Omollo. FILE PHOTO | NMG

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Summary

  • The High Court Wednesday ruled that about Sh30 million held in former Youth and Gender Permanent Secretary (PS), Lilian Omollo's bank accounts be forfeited to the government.
  • In a judgement, Justice Mumbi Ngugi ruled that the former PS has failed to explain the source of the funds, hence it can only be deduced that they are proceeds of crime.

The High Court Wednesday ruled that about Sh30 million held in former Youth and Gender Permanent Secretary (PS), Lilian Omollo's bank accounts be forfeited to the government.

In a judgement, Justice Mumbi Ngugi ruled that the former PS has failed to explain the source of the funds, hence it can only be deduced that they are proceeds of crime.

"The respondents have millions of funds in their accounts which this court has found they are unable to show a legitimate source," she said.

The judge said since the former PS failed to explain how she made the money, the only conclusion is that the funds are proceeds of crime, "corruption, that insidious scourge that has reduced our society to penury".

Ms Omollo had put up a spirited fight to save the money, which was frozen through an application by the Assets Recovery Agency.

She argued that the money was part of her salary, some of which she earned before joining the government.

Through her lawyer Stephen Ligunya, Ms Omollo added that when she joined the Jubilee government as a PS, her salary was also channelled to one of the accounts.

She further stated that part of the money was proceeds from her farm in Rarieda, Siaya County and her husband’s pay from a consultancy firm in South Sudan.

But ARA through Mohamed Adow said the agency gave Ms Omollo time to explain how she made the money, but her explanation was not satisfactory.

The frozen accounts are in Equity Bank, one registered under Lilian Muthoni Mbogo with USD67,331.9, another in the name of LIDI Estates Ltd with USD 28,981, while a third in the same bank and under the same name has Sh2,297,495.

The fourth and the fifth, also in Equity, has USD8,979.83 and Sh1.68 million, respectively.

Besides Equity, she had also banked the cash at Diamond Trust Bank with an account under the name Sahara Consultants holding Sh5.65 million and three others in her children’s names had more than Sh11 million.