The Adani project was due to a mediation agreement signed between a Chinese firm Anhui Construction Engineering Group Co Ltd that is in joint venture agreement with China Aero-Technology International Engineering Corporation that had initially won a contract for the modernisation, maintenance and operation of JKIA but KAA had terminated its contract.
The Chinese firm was fronted by tycoon Jimmi Wanjigi during the Mwai Kibaki era.
KAA has initiated a process for public participation to fasttrack the process of contracting Adani Airport Holdings also known as Adani Group to go ahead with its JKIA concession request.
Documents seen by leaked.co.ke show that a disagreement had arisen between the contractors who are Anhui Construction Engineering Group Co Ltd that is in joint venture agreement with China Aero-Technology International Engineering Corporation and KAA relating to the design and build contract for the construction of the Greenfield Passenger Terminal Complex and associated works that was once linked to Wanjigi.
Anhui Construction Engineering Group Co Ltd that is in joint venture agreement with China Aero-Technology International Engineering Corporation filed a request for arbitration before the International Chamber of Commerce on March 17 2022, concerning the dispute.
However, the parties agreed to stay those arbitral proceedings to refer the dispute to mediation before a panel of this mediation say the mediation proceedings were conducted in line with the mediation rules, agreed and adopted between the parties, mediation terms of reference and mediation fees agreement.
The parties agreed on a gross compensation amount of Sh4,792,805,342 and the compensation due to the contractor that is Anhui Construction Engineering Group Co Ltd that is in joint venture agreement with China Aero-Technology International Engineering was to be less the advance payment received by the contractor and applicable taxes, as well as full and final settlement of the contractor’s claim.
It is emerging that Anhui Construction Engineering Group Co Ltd that is in joint venture agreement with China Aero-Technology International Engineering as the contractor had already received advance payment of Sh4,178,476, 664 and was subsequently paid a final settlement of Sh604,329,659 to pave way for KAA to enter into a new contract with Adani Airport Holdings said to be in excess of Sh129 billion.
That is how Wanjigi related firms were paid by the Ruto regime to allow a new firm takes charge of the modernisation of JKIA brokered by KAA chairperson Caleb Kositany, Jayesh Saini, Kipchumba Murkomen, Sen Aaron Cheruiyot.
The Kwacha Group of Companies, which once epitomized substantial wealth and power in Kenya, became caught in a network of scandals that eventually led to its collapse.
Founded by the influential businessman and Oligarch Jimi Wanjigi, the conglomerate thrived on lucrative government contracts and political connections.
However, its meteoric rise was marred by controversies, including involvement in the Anglo Leasing scandal, land-grabbing allegations, and the 2017 election crisis.
The tale of Kwacha Group serves as a stark reminder of how corruption and political intrigue can dismantle even the most formidable business empires.
Kwacha Group of Companies was established in the late 1990s by Jimi Wanjigi, a man who had already made a name for himself as a powerful and influential businessman in Kenya.
The conglomerate rapidly expanded its portfolio, with interests ranging from real estate, construction, and finance to energy and infrastructure development.
Kwacha Group’s success was closely tied to Wanjigi’s political connections, which allowed the company to secure lucrative government contracts and partnerships with multinational corporations.
Wanjigi’s influence in the corridors of power grew as he became a key figure in financing political campaigns and brokering deals behind the scenes Deep state His association with various political figures, including former President Daniel arap Moi, President Mwai Kibaki, and later Raila Odinga, solidified his status as one of Kenya’s most powerful businessmen.
However, the success of Kwacha Group was marred by numerous scandals and controversies that would eventually lead to its downfall.
These scandals not only tarnished Wanjigi’s reputation but also exposed the deep-seated corruption and impunity that plagued the Kenyan business and politics.
One of the most big scandals that Kwacha Group was embroiled in was the Anglo Leasing scandal, which rocked Kenya in the early 2000s.
This multi-billion shilling scam involved the awarding of non-existent contracts for the procurement of security equipment by the Kenyan government.
Kwacha Group, through its subsidiaries, was implicated in the scandal, with allegations that it had been awarded several of these bogus contracts.
The Anglo Leasing scandal exposed the close ties between Wanjigi and top government officials, raising questions about the role of Kwacha Group in facilitating these fraudulent deals.
Despite widespread public outrage and numerous investigations, the scandal was never fully resolved, and many of those involved, including Wanjigi, were never held accountable.
He managed to bribe his way out through the Justice system to be cleared off of wrong doing and now thinks he is the best man to save Kenya.
Another controversy that engulfed Kwacha Group was its involvement in the Standard Gauge Railway (SGR) project, one of Kenya’s most ambitious infrastructure projects.
The project, which aimed to connect the port city of Mombasa to the capital, Nairobi, was financed by Chinese loans and managed by the China Road and Bridge Corporation (CRBC).
Kwacha Group was reportedly involved in the procurement of land and other services for the SGR project.
However, the project was mired in allegations of corruption, inflated costs, and irregular land acquisitions.
Wanjigi was accused of using his political connections to secure lucrative contracts for Kwacha Group, further fueling public anger over the mismanagement of the project.
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