Ex-Kenya Re finance chief faces fresh fraud trial

The re-trial follows an appeal by the executives in the abuse of office charge that saw them ordered to pay a fine of Sh1 million in 2010. FILE

By GALGALO FAYO
A former CFO of Kenya Reinsurance Corporation will be charged afresh over abuse of office, the High Court has ordered.

Lady Justice Lydia Achode Wednesday directed a former Kenya Re financial chief John Kinyua and Charles Gichane, an ex-reinsurance manager at Heritage Insurance, be tried afresh after finding their 2008 prosecution was defective.

The re-trial follows an appeal by the executives in the abuse of office charge that saw them ordered to pay a fine of Sh1 million in 2010 or face three years in jail in default.

Mr Kinyua was found guilty of abuse of office when he allocated and transferred a house belonging to the corporation at South ‘B’ Estate in Nairobi to Mr Gichane, who was accused of acquiring the property fraudulently.

They committed the offence on diverse dates between August 19 and 27, 2003.

“Taking into account the circumstances of this case…the order which commends itself to me, and which I now make is that there shall be a re-trial,” ordered Lady Justice Achode Wednesday.

The judge reckoned that Mr Gichane was sentenced in 2010 on a ground, acquiring property fraudulently, which had been struck out from court proceedings in 2009.

She said prosecution did not reintroduce the charge properly making it defective.

The prosecution also failed to report the investigations to Attorney general in line with Anti-corruption and Economic Crimes Act of 2003 before charging the two in court. 

The Judge said although none of the parties had sought for retrial, the matters involve public interest and the evidence are available.