Henry Mwasaru, the Head of Human Resources and Administration at the Kenya Maritime Authority (KMA), was arrested by detectives from the Ethics and Anti-Corruption Commission (EACC) on Tuesday, over allegations of procurement fraud. Mwasaru is accused of being heavily involved in a fraudulent tender process for providing medical cover for KMA staff, valued at Ksh. 40,539,760.
The arrest took place in Naivasha, where Mwasaru had been attending a training session. It was part of a larger operation targeting two other insurance brokers believed to be involved in the scam. Mwasaru was quickly taken to the EACC Integrity Centre in Nairobi for further interrogation.
The investigation into Mwasaru began after a complaint was filed with the EACC’s Lower Coast Regional Office in Mombasa on September 30, 2024. The whistleblower raised concerns regarding irregularities in how the tender was awarded, prompting a full probe into the matter.
EACC Spokesperson Eric Ngumbi confirmed that Mwasaru, along with Bevaline Lundu, the Head of Supply Chain Management at KMA, allegedly conspired to fraudulently award the medical insurance tender in violation of procurement regulations. Following a search operation at their homes, Mwasaru, Lundu, and two insurance brokers were interviewed and recorded statements at the EACC offices in Nairobi and Mombasa before being released pending further investigations.
The operation, which was carried out pursuant to court orders, led to the seizure of critical evidence supporting the ongoing investigation. EACC has stated that it is increasing its scrutiny of tenders for staff medical insurance in public institutions, which have become a significant avenue for the embezzlement of public funds, particularly through practices such as bid rigging and kickbacks.
The investigation is expected to inform future legal actions, which may include prosecution and the recovery of any public funds wrongfully obtained.
