The disturbing thing about all this is not the fact that this comes out now, or that it substantiates what many suspected all along, but that this is probably only a small indication of what is really happening on the African continent, and that one need not invoke colonialism and European malice to blame for Africa's problems anymore, since African leaders are capable enough on their own, to destroy their own countries' economies and letting the ordinary people who were tricked into voting for them live in horrible conditions and circumstances.
We also see the trend emerging in South Africa, the 58 billion rand weapons scandal springs to mind, where the new "liberators" of the country start helping themselves to the taxpayer's resources, seemingly with impunity and with apparent disregard for ethics, morals, laws and common human decency.
A review of the Mail & Guardian newspaper's headlines over the span of a couple of weeks will normally give an indication of the sick state that the country is in economically, socially, politically, and with leaders refusing to take a stand against Zimbabwe's dictator, their affinity for all things Chinese and their support for Iran to have nuclear capacity, one cannot but have a sense of evil foreboding for the African continent.
Wikileaks news release
Embargoed until 5:00 AM GMT, Friday, August 31, 2007
The missing Kenyan billions
Link to Wikileaks: http://wikileaks.org/
Link to Wikileaks analysis http://wikileaks.org/wiki/The_looting_of_Kenya_under_President_Moi
Link to information about the leaked document: http://wikileaks.org/wiki/KTM_report.pdf
Link to the leaked document itself: http://wikileaks.org/leak/KTM_report.pdf
Attribution should be to "Wikileaks" or "Julian A., Wikileaks' spokesman".
NOTE: Wikileaks has not yet publicly "launched". We are open only to
submissions from journalistic and dissident contacts. However given the
political situation in Kenya we feel we would be remiss to withhold
this document any longer.
Wikileaks: The missing Kenyan billions
According
to a suppressed U.K corruption report released today by the
whistleblowing site Wikileaks, billions of U.S dollars were looted from
Kenya by former Kenyan President Moi and his associates. The money was
laundered across the world, from million pound properties and shell
companies in London, properties in Newyork and South Africa, and a
10,000 hectare ranch in Australia, to US$200-$700 million laundered via
Swiss bank UBP.
Countries involved in the laundering operations include:
Australia,
Belgium, Brunei, Canada, Dubai, Finland, Germany, Grand, Cayman,
Israel, Italy, Japan, Jersey, Leichtenstein, Liberia, Luxembourg,
Malawi, Namibia, the Netherlands, Puerto, Rico, Russia, Somalia, South,
Africa, Sudan, Switzerland, Uganda, the United Kingdom, the United
States and Zaire. (see the Countries index for page references)
The
intricately detailed report, commissioned by President Kibaki after his
2002 election victory but later suppressed, forensically investigates
corrupt transactions and holdings by several powerful members of the
Kenyan elite.
The figures in the report sum to billions of U.S
Dollars - comparable in magnitude to the looting of infamous
kleptocrats such as Mobutu (Zaire), Marcos (Philippines), Abacha
(Nigeria), Suharto (Indonesia) and Fujimori (Peru).
The leaked
material is extremely politically sensitive. Ex-President Moi has
become a key player in political life in Kenya, and is now an essential
pillar in President Kibaki's campaign for re-election in December 2007.
As
of December 2002, the 24 year rule of Kenya's President Daniel Arap Moi
was ended by the election victory of Mwai Kibaki. Elected on an
anti-corruption platform, it was hoped that President Kibaki would end
grand corruption in Kenya. In January 2003 Kibaki appointed John
Githongo, formerly of Transparency International, as his personal
advisor on Anti Corruption and Good Governance.[1] One of the first
anti-corruption activities of Mr. Githongo on behalf of President
Kibaki was to engage Kroll & Associates (UK), a private
investigation and security firm, to trace and report on what was said
by Transparency International to be over 3 billion US Dollars stashed
abroad, by the former President Moi and his closest associates.[2]
Close
to half of Kenya's 35 million citizens live under the UN's poverty
level of 1 US dollar a day. If the restitution programme started in
2003 had been completed it would have been possible to get justice for
the tens of millions of Kenyans who live in abject poverty - as the
political elite live as Dollar Millionaires on the proceeds of
corruption.
The leaked document, dated April 2004, is clearly
self explanatory - being one of the preliminary reports received by the
Government of Kenya (described in the report as the "client"). The
persons stated as "Targets" are President Moi's closest associates and
relatives.
Contemporaneous media coverage of the time reveals a
determination by the Kibaki government to trace and seize the foreign
assets of Moi's associates.[3] However at some point in May 2004, the
Kibaki government itself suffered a credibility blow when several of
the President's closest advisors were implicated in a 777 million US
Dollar corruption scandal known as the Anglo Leasing scandal. The
fallout of this scandal resulted in the gradual sidelining and eventual
exile in the UK (in January 2005) of John Githongo after threats to his
life.[4] The anti-corruption czar had lost the support of the Kenyan
President. It was at this point that the Government dropped its
international asset tracing and recovery efforts. It is believed it was
at this point that the Kroll Report on Moi and his associates was
suppressed.
On August 28th 2007, about 100 days before the
forthcoming Presidential election, President Kibaki's re-election
campaign received the formal endorsement of his predecessor, Daniel
Moi.[5] Ex-President Moi's influence over Kibaki's regime is obvious
and also evidenced by his recent appointment as a Personal Peace Envoy
of Kibaki to the Sudan.[6]
None of the assets traced and
identified by Kroll have been impounded and Moi and his associates are
experiencing a resurgence in political clout. Among these assets are a
bank in Belgium, hotels and residences in the USA, UK, South Africa,
Namibia and as far away as Australia, a 10% shareholding in Kenya's
most successful telecommunications company (a joint venture with
Vodafone PLC of the UK) and massive real estate and agricultural
investments.
The leak which emanated from within high levels of
the Kenyan Government is motivated by the desire to demonstrate that
President Kibaki has clear-cut evidence of his predecessor's corruption
and complicity in corruption, and has chosen to suppress the evidence
and worse still has gone into a political and economic alliance with
the Moi group.
A second motivation is the sheer scale of the
theft of public funds by Moi and his associates. The figures in the
report run into (if added up) the billions of US Dollars - comparable
in magnitude to the looting of other infamous kleptocrats such as
Mobutu Sese Seko of Zaire, Ferdinand Marcos of the Philippines, Sani
Abacha of Nigeria, Suharto of Indonesia and Alberto Fujimori of Peru.
The
leaked material is extremely politically sensitive. Ex-President Moi, a
corrupt, brutal, discredited former dictator, has somehow again become
a key player in political life in Kenya - so much, that he is now an
essential pillar in current President Kibaki's re-election campaign.
His massive financial resources are expected to be used to buy Kibaki
popular support particularly in the populous Rift Valley region, which
voted almost to the man against Kibaki in the last election, and in
November 2005 during a constitutional referendum. The leaker thinks the
re-emergence of President Moi is scandalous and must be stopped.
The
leak will certainly interest the Kenyan media, for whom this report
represents a grail of sorts. Kenya's large international press corps
will also be an interested audience. With a Presidential election only
a few months away, the report comes to light at a critical time.
The leaked report's author: Kroll Associates UK Limited
Kroll
Associates UK Limited is a limited liability company incorporated in
England (registered number 2020412) whose registered office is at 10
Fleet Place, London, United Kingdom EC4M 7RB. Its father company Kroll
Inc., headquartered in New York, US is a private investigation and
security consulting firm founded by Jules B. Kroll in 1972. It provides
corporate risk consulting services including financial advisory and
investigations, identity fraud solutions, background screening,
forensic accounting, bodyguard services, corporate restructuring, and
security technology services. The company is now a subsidiary of Marsh
& McLennan Companies who aquired it in July 2004.
The US government and the weapons industry is a major permanent contractor of the Kroll Inc.
Kroll was also responsible for security of the World Trade Center site until it was destroyed in the 9/11 terrorist attacks.
In
October 2004, the Brasil offices of Kroll Inc. were raided by the
police because of alleged spying activities on the government. The
company was originally reported to have been hired by the Brazilian
investment firm Opportunity to investigate Telecom Italia, with whom it
has been battling to gain control of Brasil Telecom, one of Brasil's
largest telephone companies. Other notable cases include the corporate
restructuring of Enron after its 2001 accounting scandal, the law
enforcement monitoring of Los Angeles Police Department in a US federal
consent decree mandating major reforms designed to end corruption and
abuse.
Kroll was involved in investigating other Kenyan corruption scandals, such as the so-called Anglo-Leasing Scandal.[7]
About the report
The
leaked report is 106 pages long and contains several sections:
executive summary (1-10), source enquiries (11-54), business associates
and front men (55-76), and appendix (77-106).[8] The executive summary
outlines the most suspicious financial transactions, properties and
business links discovered in its investigation. A series of additional
enquiries is proposed. The following sections proceed in intricate
detail, investigating the background, 'modus operandi', business links,
financial transactions, business associates, and property holdings, all
around the world, of several powerful members of Kenyan society linked
to Daniel arap Moi. They include, among others:
* Joshua Kulei,
Mr. Moi's former personal assistant, on whom travel restrictions were
imposed as a result of a previous corruption scandal, the Goldenberg
affair.[9]
* Gideon Moi, son of Daniel arap Moi and a current member of parliament.[10]
* Nicholas Biwott, a wealthy Kenyan businessman and politician,
previously linked to a number of crimes and corruption scandals though
never convicted.[11]
* Philip Moi, son of Daniel arap Moi.
The report is highly verifiable. Kroll UK, Transparency International, John Githongo, and http://www.marskenya.org,
a Kenyan website that documents grand corruption incidents, are
suggested for full or partial corroboration and the document appears
consistent with the public record.
KTM report country index
Countries
involved in the holdings, transactions and other links of Moi's
associates, as detailed in the leaked document are listed below,
together with a reference to the relevant page of leak:KTM_report.pdf.
Australia
* Target 3's wife lived in Australia (page 15)
* Biwott's investment with commercial interests in Australia (page 39)
* Biwott / Ownership of a 10.000 hectare ranch (page 40)
* Mukesh Gohil / Directorship of two companies (page 65)
* Mukesh Gohil / Shantilal Brother (Australia) Pty Ltd (page 85)
* Mukesh Gohil / South Austral Pty Ltd (page 86)
Belgium
* Biwott / Moi (joint?) ownership of Banque Belolaise (page 47)
* Team Simoco / Simens International / Siemens Atea, the Belgian branch (page 104)
Brunei
* Philip is a close friend of Prince Hamid of Brunei (page 57)
* Moi's family has invested heavily through Prince Hamid (page 57)
* Philip's wife and children were planning to spend Christmas 2003 vacation in Brunei (page 57)
Canada
* Charles Field-Marshal / Biwott's son in law, manager Yaya Center / canadian citizenship and present residence (page 53)
Dubai
* Saimon Roadrekearek of Allen & Overy (page 33)
* Gideon telephone call to Mukesh (page 36)
Finland
* Public sector related fraud / Generators from Finland (page 110)
Germany
* Solomon Muthamia / Biwott's funds channelled to bank accounts in Germany (page 45)
* PAB / Aslam / Biwott's money recycles through unidentified German bank (page 46)
* Team Simoco / Siemens International / Siemens Group (page 104)
* Proceeds of Turkwell Gorge Hydro-Electric Dam Project / Unidentified banks (page 108)
Frankfurt
* $200 million laundered via (page 8)
Grand Cayman
* Gideon / Ken Boit (page 32)
Israel
* Biwott's investment with commercial interests (page 39)
* Zeevi's present residence / under investigation (page 48)
* Danny Vardi / Israeli national, former Israeli Defence Force, an
advidor to the Israeli government of natural gaz projects (page 54)
* David Bartknowski / Israeli national, Gad Zeevi's former CFO (page 54)
Italy
* Philip Moi / property ownership (page 55)
* Zara/Rosanna Moi / Philip's Italian wife / numerous bank operations (page 57)
* Zara/Rosanna Moi travelled from Italy to Leichtenstein and Switzerland (page 57)
* Zara/Rosanna Moi is relatively unknown, so Philip prefers to use her as his 'Italian connection' (page 58)
* Philip refuses to visit Italy, uses Dr. Cliemente to recover money (page 58)
* Mrs Moi was visiting Italy to meet Dr. Cliemente to discuss money (page 58)
* Philip provided cover to Italian families dealing with drugs in Malindi (page 59)
Japan
* Naushad Merali / contract secured to supply Daihatsu 4x4s to government parastatals (page 49)
Jersey
* Millions held (page 8)
Leichtenstein
* Zara/Rosanna Moi made visits to Leichtenstein (page 57)
Liberia
* Muzahim / Philip / counterfeiting (page 59)
Luxembourg
* Kulei / Moi / Gideon / CitiCorp / CitiBank / UBP (page 33)
Malawi
* Tobacco farm owned by Gideon (page 31)
* Gideon's meeting with Habinder Singh Sethi (page 37)
Namibia
* President Sam Nujoma (page 13)
* Meeting with President Nujoma (page 29)
Netherlands
* Team Simoco / Background / Philips Electronics N.V. (page 102)
Puerto Rico
* Moi / Biwott / Zeevi's investment in oil refineries (page 48)
Russia
* Zeevi / Chernoy corrupt dealings
Somalia
* Muzahim / Philip / counterfeiting (page 59)
South Africa
* 74 closed corporations under the name of Harbinder Singh Sethi (page 10)
* Gideon (page 13)
* Kulei has property interests (page 23)
* 74 closed corporations under the name of Harbinder Singh Sethi (page 32)
* Gideon / Harbinder Singh Sethi (page 33)
* Sethi holds many of Gideon's assets, a ranch (page 37)
* Sethi flew the Moi's carrying cases of dollars (page 37)
* Gideon / Kiplagat / sale of $650,000 Durban-based residential property (page 38)
* Harbinder Singh Sethi / resident in Sandton, Johannesburg (page 65)
* Harbinder Singh Sethi / property (pages 66-67)
* Sethi / 'member' of 74 closed corporations (pages 68-71)
Sudan
* Muzahim / Philip / counterfeiting (page 59)
Switzerland
* $200 million laundered via UBP. (page 8)
* Geneva launder Gabriel Moussa Katri (page 8)
* $100-$500 million laundered via UBP (page 8)
* Transfer orchestrated by Mukesh Gohil (page 8)
* Credit Swiss / Sandhurt Matrix / Dr Clemente / Garian Investments (page 9)
* Gabriel Moussa Katri's $200 million launder / UBP (page 24, 25)
* PAB / Aslam / Biwott's money recycles through unidentified Swiss bank (page 46)
* Zeevi and Biwott's accounts Credit Suisse in Geneva and Citiban in Zurich (page 46)
* Zeevi / $12 million credit from Credit Suisse (page 46)
* Biwott / significant amount of money moved from Banque Cantonale Vaudoise (page 46)
* Philip Moi / lost US$15 million process paid through account held at Credit Suisse, Zurich (page 57)
* Zara/Rosanna Moi visited Lugano in Ticino, a remote area but with over 100 banks (page 57)
* 'Not surprising' that Zara should visit Lugano, since major international drug barons favor this destination (page 58)
* Gabriel Moussa Katri / Banque Patrimoines Prives Geneve BPG SA (pages 89-90)
* Gabriel Moussa Katri / Discount Bank and Trust Company "The Recanati Bank" (pages 90-91)
* Gabriel Moussa Katri / Union Bancaire Privee (pages 91-92)
* Gabriel Moussa Katri / Banque Privee de Rothschild S.A. (pages 92-93)
Uganda
* Ownership of petrol stations operated through Kenol-Kobil (page 40)
* Biwott expelled in 1972 (page 48)
* Damani Harshad / Article in 'The Monitor' / Ugandan individual (page 79)
United Kingdom
* Mukesh Gohil / Citibank (page 9)
* HSBC / Standard Chartered PLC / Barclays (page 10, 56)
* 6.5 million pounds laundered into Surrey and Knightsbridge (page 10)
* Sovereign Group Ltd / Sovereign holdings (page 11)
* Hotels in London (page 13)
* Kulei and Moi properties in Surrey (page 22)
* Broadlands Overseas S.A (page 22)
* Lowdnes Square London (page 22)
* Kulei stock brokers (page 27)
* Gideon / Mukesh Gohil properties in London (page 31)
* 550 million pounds laundered via Citibank (page 32)
* Mukesh / Gideon holdings in London (page 32)
* Chales Field-Marsham / code-sharing arrangement with British Airways (page 41)
* Rayner / resident in the UK (page 44)
* Solomon Muthamia / Biwott's funds channelled to bank accounts in UK (page 45)
* Field Marsham / work in an international investment bank in London (page 53)
* Philip Moi / issue cheques for the purchase of equipment for manufacturing cooking fat (page 56)
* Philip Moi / used HSBC account to buy equipment for Cut Tobacco Ltd. (page 56)
* Philip Moi / signed b $500000 Barclays Bank cheques for and behalf of Gateway Properties Inc (page 56)
* Mukesh Gohil / Properties in Middlesex, Bedfordshire and Leicestershire (pages 61-64)
* Mukesh Gohil / Directorship of 3 companies (pages 64-65)
* Sethi / former directorships of 3 companies (page 67)
* Naushad Noorali Merali / Directorships in 2 companies (page 73)
* Merali / Holdings in several companies (pages 73-74)
* Rohit Pattni / Two properties in Middlesex and Surrey (pages 75-76)
* Rohit Pattni / Director of 6 companies (pages 76-78)
* Vaju Pattni / KP's brother is in London, travels to Birmingham, Manchester (page 79)
* Vaju Pattni / Property in Sudbury US$1m (page 79)
* Damani Harshad / Located in Hertfordshire (page 79)
* Damani Harshad / Director of company (page 80)
* Hema Damani / Director of company (page 80)
* Vaju Pattni / Property searches (pages 80-81)
* Mukesh Gohil / Armada Services Ltd (page 84)
* Mukesh Gohil / Technology 4 All Ltd (page 84)
* Mukesh Gohil / Aandatta Ltd (page 85)
* Harbinder Sethi / BasicStone Ltd (pages 86-87)
* Harbinder Sethi / Canray Ltd (pages 87-88)
* Harbinder Sethi / Hollywood Electronics Ltd (pages 88-89)
* Naushad Merali / W.P.H Kenya Tea Ltd (page 94)
* Naushad Merali / Overseas International Telecommunications Ltd (pages 94-95)
* Akber Esmail / Steel Brothers and Company (pages 95-97)
* Horatius da Gama Rose / Symphony Global Technologies Plc (page 97)
* Rohit Pattni / Octogen Ltd (pages 97-98)
* Rohit Pattni / Riverton Securities Ltd (page 98)
* Rohit Pattni / Deonberry Finance Ltd (pages 98-99)
* Rohit Pattni / Ashym Properties Ltd (pages 99-100)
* Rohit Pattni / L Thomas & Company Ltd (page 100)
* Rohit Pattni / Fairoak Investments Ltd (pages 100-101)
* Team Simoco / Corporate records listing (pages 103-104)
* Team Simoco / Team Communications / Company listings (page 104)
* Proceeds of Turkwell Gorge Hydro-Electric Dam Project / Unidentified banks (page 108)
United States
* Properties held (page 11)
* Kulei / Terer Kulei owns several properties in NY (page 23, 26)
* Alnoor Kassam / Zeevi agreement of sale of Trade Bank in NY (page 51)
* Field Marsham / work in an international investment bank in NY (page 53)
Zaire
* Muzahim / Philip / counterfeiting (page 59)
Notes & References
1. b Githongo's courageous whistleblowing actions have been the
subject of much international media attention. See, for instance, John
Githongo's page on this wiki, and a profile in the New Statesman from
February 2006, available at http://www.newstatesman.com/200602060018.
2. b See, for instance, 'State Changes Tune on Looted Billions Abroad', http://www.globalpolicy.org/nations/launder/regions/2005/0519tune.htm,
May 19, 2005, written as the investigation was wound down by the Kenyan
government. Kroll also played a role in the investigations of the Anglo
Leasing investigations, see e.g.'Githongo secret diary', http://allafrica.com/stories/200601240569.html.
3. b See, e.g., in Time Magazine's article on Githongo, http://www.time.com/time/magazine/article/0,9171,901060306-1167713-1,00.html
:
'Githongo's crusade started at a time of great hope. In 2002, Mwai
Kibaki, head of the National Rainbow Coalition, won the presidency,
promising an end to corruption as "a way of life."'
4. b See, e.g., 'Kenya's anti-graft czar resigns', http://news.bbc.co.uk/2/hi/africa/4243619.stm, and 'Kenya graft fighter 'threatened, http://news.bbc.co.uk/2/hi/africa/4249679.stm.
5. b 'Kenya: What Moi-Kibaki Alliance Means', http://allafrica.com/stories/200708281270.html.
6. b 'Kenya: Kibaki Appoints Moi Peace Envoy', http://allafrica.com/stories/200707250755.html.
7. b As documented by Githongo himself: see 'Githongo secret diary', http://allafrica.com/stories/200601240569.html.
8. b The table of contents is not easy to follow and does not make
this clear, but there are 'sectioning' pages. It is a 'consolidated
report', perhaps consolidating smaller reports. There are duplicate
sections for some individuals investigated. The table of contents
refers to an 'Introduction' section, which apparently has been redacted.
9. b See, e.g., http://en.wikipedia.org/wiki/Goldenberg_scandal#Travel_restrictions and http://news.bbc.co.uk/2/hi/africa/4711546.stm.
10. b See, e.g., http://en.wikipedia.org/wiki/Gideon_Moi.
11. b See, e.g., http://en.wikipedia.org/wiki/Nicholas_Biwott
and http://allafrica.com/stories/200503020867.html.
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