Mathira MP Rigathi Gachagua has found himself in government's crosshairs once again after investigations unearthed an alleged Ksh5.8 billion payout to him over a period of seven years.
According to court documents, a big chunk of the legislator's controversial wealth originated from payments he received from companies and government corporations.
As of now, his bank accounts containing Ksh200 million have been frozen for three months pending the hearing of a case by the Assets Recovery Agency (ARA), that had accused him of money laundering.
The money was paid out to companies associated with the lawmaker, suspected to be proceeds of crime.
The Ksh5.8 billion, according to the agency, had originated from companies associated with Gachagua that reportedly offered services to ministries, state agencies and County governments.
Further investigations further found out that the money was later aggregated into a fixed account that allegedly bore the name of the MP.
"There were massive suspicious cash withdrawals, transfers, inter and intra-bank transfers from other accounts to the accounts under investigations and other bank accounts owned by Mr Gachagua in suspicious complex money-laundering schemes.
"There are reasonable grounds to believe that the suspect's bank accounts were used as a conduit for money laundering in efforts to conceal, disguise the nature, source, disposition and movement of the illicit funds and should be preserved," stated the ARA.
In the Ksh200 million case, Jenne Enterprises Limited featured prominently with detectives suspecting that it was behind a complex money-laundering scheme.
Some of the funds were allegedly paid to the lawmaker by the Ministry of Lands, Ministry of Health, Bungoma County Government and Mathira Constituency Development Fund.
The others are State Department of Special Planning, Nyeri County Government and National Irrigation Board.
The money was also held in separate bank accounts subdivided into Ksh165 million, Ksh35 million, Ksh1.1 million and Ksh773,228.
This is the second time the lawmaker, who is an ardent supporter of DP William Ruto, has had his accounts frozen following the Friday, May 29, order in which he had his accounts frozen for one week.
The accounts were registered under three firms, Wamunyoro Investment which has two accounts and Technical Supplies and Services Limited.
The court also froze three more accounts owned by Crystal Kenya Limited, Jenne Enterprises and Encartar Diagnostics Limited at the time.
