Officials of the Kenya Tea Development Agency (KTDA) are expected at the Directorate of Criminal Investigations this morning.
KTDA officials led by Chief Executive Officer Lerionka Tiampati, are being investigated for conspiracy to defraud
Mr. Kinoti in his request noted that failure to comply with the summons constitute an offense liable to prosecution. However, KTDA told off the investigator, warning him against the ‘illegal’ summons, or they will seek legal redress.
According to the KTDA lawyer, the DCI “has no jurisdiction whatsoever or at all, to seek that our client does account to your good selves on its legal affairs, including disclosure of its lawyers and related documents.”
Last week, Agriculture Cabinet Secretary Peter Munya told a parliamentary committee that KTDA is a public company, and accused them of opposing the regulations proposed by Mr Munya after President Kenyatta ordered for the streamlining of the tea sector.
However, KTDA refused to yield. Instead through its lawyers, sought to stop the regulations. Their argument? No public participation was involved.
Murang’a-based Gacharage Tea factory had also sent a separate petition after KTDA sent a prepared resolution asking them to approve the appointment of a top-notch Nairobi advocate to oppose the tea regulations in court.
Although the factory told KTDA that it is not opposed to the reforms and has asked the agency to furnish farmers with the expected bill since the amount of money to be paid to the law firm was not indicated, it has now emerged that KTDA listed Gacharage as among the companies that have agreed to hire the top-notch lawyer.
In particular, President Kenyatta called for reforms in KTDA, tea brokerage, auctioneering and the stakeholders to seal corruption and embezzlement loopholes.
Following the directives, CS Munya published new regulations. Among the proposed measures include;
- Tea farmers who market their produce through KTDA will be paid 50 percent of the delivery month with the rest paid as bonus annually.
- Individual tea factories will also be allowed to sell their produce at the tea auction, outlawing direct sale overseas.
- Any teas that are not sold during a particular auction shall be re-listed for sale during the subsequent auction.
- Automation of the auction process to promote accountability.
