An Appeal Court has overturned the conviction and a 67 jail term of Sirisia MP John Waluke in the Ksh313 million maize case.
Waluke’s business partner Grace Wakhungu, who had been sentenced to 68 years in jail, was also freed.
The two were convicted and sentenced in 2020 with an alternative of fines of more than Ksh1 billion after being found guilty of fraudulently receiving money from the National Cereals and Produce Board (NCPB) for maize that was never delivered.
“We are satisfied that the appellants have made a case to warrant us to allow their appeal. Their conviction and sentence are set aside. The appellants shall immediately be set free unless otherwise lawfully held,” judges Asike Makhandia and Patrick Kiage ruled on Friday, October 11, 2024.
In their appeal, Waluke and Wakhungu said the payments made arose from an arbitration and not a procurement award.
Through lawyer Paul Muite, Wakhungu argued that the award had never been overturned and that what they received was a fraction of the payment.
Wakhungu got a 68-year jail term while Waluke was handed a 67-year jail term. They were directors of Erad Suppliers.
They were accused of fraudulently acquiring Ksh313 million from public coffers purporting it to be costs of storage of 40,000 metric tonnes of white maize incurred by Chelsea Freights.
The two were aggrieved by their sentence and moved to the High Court to appeal.
However, Justice Esther Maina upheld the Magistrate’s decision making Waluke move to a higher court.
Justice Maina said the sentences were not excessive but within the law. She also said the invoice upon which the claim for payment was based was a forgery.
“Waluke presented it to the arbitrator knowing Erad Supplies Limited had no deal with the maker of the invoice -Chelsea Freight Limited- and as a result, it was paid huge sums of money by a public body,” she said.
In the Appeal, Waluke had said there was no case of fraudulent acquisition arising from an order of the court, which was not set aside or overturned.
“The money they are accused of fraudulently acquiring is yet to be paid and although the decree did not specify what amounts were for storage, interest or loss of profit, the entire amount received is less than the loss of profit, part of which was not a subject of the criminal case”, the lawyer argued.
The two and their firm, Erad Supplies & General Contractors, were accused of having received over Ksh313 million from NCPB for fake claims, in a botched deal to supply some 40,000 metric tonnes to the government in 2004.
