Former acting CBK governor Jacinta Mwatela has clarified that the regulator had no legal  mandate to advice on government contracts.

She said that such advice was confined to the Attorney General’s office and that CBK’s role was only to release payment which had been certified by  respective authorities, adding that the regulator was not consulted.

Mwatela was referring to the controversial Anglo leasing contract that gave rise to the trial of senior government officers and businessmen Deepak and Rashmi Kamani.

She denied ever seeing the contract or even participating in its negotiation.
Only AG can give legal advice
Mwatela further clarified that under Section 31 of the CBK Act only the AG can give the government legal opinion.
“It is not CBK’s mandate to give the government legal advice on contracts, there are departments that give the government legal advice,” she said.

Other witnesses testifying in the case previously have since told the trial court that the AG okayed the Anglo-leasing contract.

“As acting governor I tried to find out whether previous governors were involved and I did not find any documentary evidenced of their involvement,” Mwatela testified.

She said that external payments were being coordinated from the treasury and that CBK was not involved in the negotiation of the Anglo-leasing contract.

Having trouble

At the same time the prosecution admitted that they “were having trouble getting their witnesses among former anti-corruption Czar and whistle-blower John Githongo.

 

Previous witnesses testifying in the  case have told the trial court  that they were not aware of any scam involved in the contract the government entered into with a foreign firm which was to be paid  for the supply of digitised police equipment.

They have so far said that a background search on Info-talent was conducted before the government signed the contract and found it was a genuine firm registered overseas but not locally and that all and  that all “transactions were subject to international law.”

The accused have denied culpability in the multi million shillings worth Anglo Leasing contract which the government later  cancelled without notice.