Nairobi News

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Sonko’s pick for finance docket sucked into controversial Sh1.7b deal


City Hall Finance Executive nominee Newton Munene was Thursday sucked into a controversial Sh1.7 billion county staff insurance deal after it was revealed that he is related to the firm’s boss.

Minority chief whip Peter Imwatok had questioned his nomination to the position yet he is related to the head of  AAR group, a company that has been offering medical insurance to county workers for the last three years.

Mr Munene admitted that he is related to AAR group chief executive officer Ms Caroline Munene, but said that he was not aware the firm is doing business with City Hall.

“We are five in our family with three girls and Caroline Munene is my sister but I am not aware that AAR is doing business with the county,” said Mr Munene.

The former Central Bank of Kenya employee was put to task on how he he intends to deal with the conflict of interest if his nomination is approved by the County Assembly Appointment committee.

Mr Imwatok: How will you handle the conflict of interest where your sister Caroline Munene is the MD of a company that has been procuring insurance cover to Nairobi City County staff for the last three years consistently, irregularly and unscrupulously?

Mr Munene: The first thing I will do is that I will do a written submission of the conflict of interest so that in the event that there is any determination I will not be part of it. I will do a written submission to recuse myself from such contracts with reasons why.

Mr Imwatok: Did you purpose to apply for this job or you were invited to apply for the job?

Munene: I purposed to apply for the job.

Imwatok: Are you aware that AAR is doing business with the county government?

Munene: Not to my knowledge.

 

He said the county assembly will not be used to rubber stamp such a nominee, whom the “governor knows is the brother to the same person fleecing the county.”

“Meaning we are now connecting a complete circuit of cartels as much as we pretend that we are fighting cartels. We are promoting the same cartels,” said Imwatok.

But the Bachelor of Commerce graduate from University of Nairobi assured the committee that the relationship will not interfere with his work.