Why Ezra Chiloba was suspended, CA reveals
The Communications Authority of Kenya (CA) suspended Director General Ezra Chiloba for alleged misuse of the authority’s mortgage scheme.
According to a report from a ninth special Board Audit and Risk Assurance Committee (Barac) meeting held on August 8, 2023, Chiloba and nine others “fundamentally breached their obligations arising under the contract of service.”
Chiloba is accused of, among other things, applying for and self-approving a mortgage loan without following due process. The loan was reportedly intended to facilitate the purchase of a property by Chiloba and another individual.
The suspended Director General is said to have purchased a house and seven acres of land in excess of the allowed one acre limit under the Civil Servants Housing Scheme requirement.
In terms of the loan application process, the authority claims that no due diligence was carried out, resulting in the omission of relevant information.
“The loan application was approved by a junior staff member and there is no evidence to support that fact that the junior staff member carried out requisite due diligence and advice management including but not limited to the relationship between the seller and the buyer and the size of the property,” read the report.
Concerns were raised after it was discovered that the authority remitted funds to a bank account held by Chiloba under the company name Kitale Hilmost Ltd., who was also posing as the buyer.
“Further interrogation to confirm the identity of the seller vide a query through the Companies Registry revealed the sole director and shareholder of Kitale Hilmost Ltd as Ezra Chiloba Simiyu, who is also the buyer. These actions amount to an offence in accordance with Section 41 and 42 of the Anti-Corruption and Economic Crimes Act,” it read.
“Being that the Director General is the Accounting Officer for the Authority, the conduct and integrity of the office holder when viewed against the provisions of Sections 11, 12 and 13 of the Leadership and Integrity Act is found to be in contravention of the same and in breach of the Code of Ethics which amounts to misconduct for which he may be subjected to disciplinary proceedings as per Section 45 of the Employment Act 2007.”
Following Chiloba’s suspension as CA’s Director General, CA Board Chair Mary Mungai appointed Christopher Wambua to the position in an acting capacity.
