Scandal Alert,Kenya Railways Director Philip Mainga Caught Up in Another Ksh700 Billion

Two activists, Francis Owino and Ezekiel Okoth, have filed a case in court seeking the removal of Philip Mainga from his position as the Director of the Kenya Railways Corporation (KRC).

Their case is grounded in allegations that Mainga played a role in the loss of a staggering Sh700 billion during the construction of the Standard Gauge Railway (SGR).

The activists, in their court documents, claim that there were “illegal and unlawful extension and irregular dealings” that resulted in the loss of this colossal sum, which ultimately belonged to the taxpayers of Kenya.

The construction of the SGR, which was widely known to be financed by the Chinese Government, has come under scrutiny as the activists argue that the loan from a Chinese bank did not qualify as public debt.

Furthermore, Owino and Okoth contend that both the Kenyan government and the Exim Bank of China purportedly paid a total of Sh1.8 trillion to the contractor and supplier of the standard gauge railway, even though the contract sum was Sh407 billion. This implies an overpayment of Sh777 billion that cannot be accounted for.

The court documents point out that these alleged unlawful dealings took place under the supervision of Philip Mainga.

The activists go on to accuse Mainga of initiating a problematic deal with Africa Star Railways (Afristar), a Chinese operator for the SGR Line, which they claim led to unchecked losses of up to Sh1.4 million daily for Kenya Railways.

Justice Hedwig Ong’undi, who heard the application, has directed that the petition be served to Mainga and the East African Community (EAC), which has been listed as an interested party, within three days.

Responses from the concerned parties will be filed and served within seven days, and the matter is scheduled to be mentioned on August 30 for further directions.

Mainga’s recent term extension to 2026 has added complexity to the case. The activists assert that Mainga’s continued occupancy of the position is illegal, given the alleged transgressions of the law during his tenure.

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