The Government through the ministry of Agriculture lost close to shs 1 billion to Millers and top ministry honchos in fines and interest in 2020.
Documents obtained by Hot News show that Millers whom the government owed money after supplying grains to NCPB were awarded between 12 percent and 13 interest on the total amount owed.
The interest was awarded to millers by an Arbitral Tribunal.
10 Millers earned a total of shs 980, 540,098 in interest.
Mombasa Maize Millers earned the highest interest, which was shs 259 million.
NCPB owed Mombasa Maize millers shs 882 million.
In total, the Ministry owed Millers shs 3.4 billion as of 18th December 2020.
Initially, the millers were owed shs 3.9 billion.
Insiders told Hot News the shs 3.4 billion debt was cleared in mid-January.
The Millers who were paid include Alpha Grain millers, Capwel Industries, Kabansora, Karibu , Osho Grain Millers, Unga limited , Mombasa Maize Millers, Pembe Floor Mills , Export Trading Company, Donfins Investments and Commodity House.
Sources within the Ministry who sought anonymity said the companies received millions in terms of interest awarded after collusion between top ministry officials and the Arbitration Tribunal.
They show that Alpha received shs 42 million in interest, Capwel 206 million, Kabansora 33 million, Karibu 25 million, Osho 16 million, Export Trading Company184 million and Unga Limited 103 million.
“Once the Millers were paid, several top officials at the ministry sent their proxies for a 10 percent cut which was hidden in the interest awarded,” said a source who requested anonymity.
Insiders also revealed to Hot News that three of the Companies that were paid High Interests belong to Mombasa Billionaire Mohammed Jaffer.
Jaffer is the owner of Grain Bulk Handlers Limited (GBHL).
In the past, he has denied claims that he was summoned by EACC over shs 1.8 billion to one of his companies.
The claims came up before former Agriculture CS Mwangi Kiunjuri was axed.
Jaffer is 64 years.
His firm GBHL specializes in the discharge and handling of bulk grain cargo at the Port of Mombasa.
Last year, he denied links to Commodity House Limited.
Commodity House received Sh1.8 billion on July 1, 2019, and allegedly transferred Sh1.6 billion the following day on July 2, 2019, to Hydery Limited.
The balance of shs 200 million was allegedly used to bribe top Government officials.
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