A Political Kenya: Latest Politics and Kenya Economy News

Between presidential aspirants Kalonzo Musyoka, Musalia Mudavadi and Najib Balala, former vice-president Mudavadi stands out as the richest in the group.

While the other two, Kalonzo and Balala, can be said to be quite modest in terms of affluence, Mudavadi’s wealth puts him almost at par with the big two in the presidential race; President Kibaki and Raila Odinga.

Born Wycliffe Musalia Mudavadi in September 1960 in Vihiga division of the then larger Kakamega District, the young Mudavadi was the privileged son of the late Moses Budamba Mudavadi, a former education officer who later became a very powerful minister in president Moi’s cabinet.

Wealth in the larger Mudavadi family could be traced to the long period the elder Mudavadi served as a powerful minister for local government and a close confidant of president Moi. He was first appointed to the cabinet in 1979 soon after Moi succeeded Jomo Kenyatta as president.

The senior Mudavadi used his closeness to the president (having been instrumental in getting him nominated to the Legislative Assembly by the colonial authorities in the 1950s) to entrench himself both politically and economically.

He was an extremely generous person and in the 80s he regularly hosted mammoth goodwill delegations at his Mululu home in Kakamega, from other parts of Luhyaland. After such visits, each member of the delegation would leave with a bulging pocket from the King of Mululu, as the elder Mudavadi had been nicknamed due to his extensive political influence in the entire Western Province.

To some extent. then, one could say that long before the young Mudavadi made his own millions, the larger Mudavadi family was already a beneficiary of old money. In fact the senior Mudavadi was feted as the first Luhya to own a Land Rover vehicle in the 1950s when he served as an education officer in the Rift Valley Province, a no mean feat since Land Rovers were the vehicles of choice for the British aristocracy.

Mudavadi’s big break

The younger Mudavadi became an MP in 1989 to fill the vacancy created by the death of his father that year. President Moi immediately appointed him Minister for Supplies and Marketing but the 29-year old made little impact owing to his relative inexperience.

His big break both in politics and world of business came after the 1992 General elections when he was appointed to the plum portfolio of Minister for Finance.

It was as Finance Minister that Mudavadi entrenched himself in the world of business first venturing into insurance and later investment in the banking sector. During his tenure at Treasury, Mudavadi enjoyed good relations with big players and wheeler dealers in business and in the process learnt useful tips on how to keep afloat in the cut throat, ruthless world of business.

Mudavadi also enjoyed extremely good rapport with Moi’s former personal assistant and dealmaker Joshua Kulei. There are reports that the two ventured in a few business deals during this period.

He later served as Minister for Transport and Communications overseeing the then lucrative parastatals such as Kenya Posts and Telecommunications. He also served at the Ministry of Agriculture, besides the brief two-month stint as vice-president during the final days of the Moi presidency.

Despite being very wealthy in his own right, Mudavadi has maintained a cloak of secrecy around his investments unlike other players in the presidential race, such as Raila Odinga.

Besides being co-owner of an insurance company, a bank and other companies, among other known Mudavadi investments include an office block in Westlands and a number of residential houses in the city.

Mudavadi, a Land Economist by training who started his employment career working for a local real estate agent, Tysons Limited, also has his property management company which operates from Westlands. Analysts estimate Mudavadi’s family wealth to be in the region of hundreds of millions of shillings which means he can comfortably finance a good political campaign from personal resources.

Kalonzo Musyoka, a man of modest means

Unlike President Mwai Kibaki, Raila Odinga and Musalia Mudavadi, the other three presidential contenders, Kalonzo Musyoka is a man of modes means. The big three can easily marshal substantial personal financial resources to fund their presidential campaigns, which is more than can be said of the man from Mwingi.

He has been in politics for a relatively longer time than most of the others in the presidential race, except the president, (he was first elected to parliament in a by-election in 1985) and he has held prominent cabinet positions. But unlike most other politicians he does not appear to have used public positions to advance himself politically.

Besides being a silent partner in a city law firm, among the few investments that Musyoka is known to have including a humble hotel business that goes by the name Mwingi Cottages. The hotel is located in his home district.

Musyoka built the hotel about ten years ago with a Kshs 10 million loan from the Kenya Tourism Development Corporation (KTDC). Sources say he is still repaying the loan.

The only other prominent asset that Kalonzo is known to have a magnificent house in Karen where he lives with his family. The house, sources say, was built with substantial material assistance from former President Moi during the period Musyoka served as Moi’s trusted Cabinet Minister and key Kanu official.

Kalonzo, who is married with four children, served in various positions in the Moi government. He started off as an assistant minister before becoming the Deputy Speaker of the National assembly in 1988. he was appointed Minister for Foreign Affairs after the 1992 General Elections.

It is perhaps out of the understanding that unlike other key presidential contenders he is not in a position to personally finance his presidential campaign in any significant way that Musyoka was among the first politicians to set up a political foundation to serve as a fundraising platform.

Through the Kalonzo Musyoka Foundation, the youthful looking presidential contender hopes to use his extensive international connections to raise substantial funds for his presidential campaign.

There are also a number of wealthy local associates especially moneyed businessmen and professionals from Ukambani who would most likely provide substantial financial backing to Kalonzo should he become the ODM presidential flag bearer. They include gemstone dealer Johnstone Muthama, a real estate magnate David Masika, city lawyer Mutula Kilonzo and tycoon John Harun Mwau.

Najib Balala and the Arab money

Turning 40 years on September 20^th this year, ODM presidential hopeful Najib Balala is clearly the youngest presidential aspirant in 2007. Balala comes from a prominent Mombasa family that has been in business of tea export for years. The family is also said to have some investments in the hotel industry at the coast which could explain why Balala served as the chairman of the Mombasa and Coastal Tourism Association (MCTA) at one time.

Balala is not wealthy enough to be in the leagues of other ODM presidential aspirants such as Raila, Musalia or William Ruto, but he is relatively wealthy in his own right.

The Mvita MP made substantial personal money between 2003 and 2005 when he served as Minister for Sports and culture. During this period, informed sources say, Balal had some lucrative business dealings with prominent players in the oil rich Arab countries of Qatar, Oman and Yemen where he is reputed to have made close to US$ 2 million (about Kshs 140 Million).

Interestingly though, when in Nairobi, Balala stays in a rented house at Kolobot Gardens near State House.

It is not clear in which sectors Balala may have invested his windfall. Suffice it to say that besides the personal fortune, he has good links in many oil-rich and generous Arab countries where he can turn for financial support should he emerge a serious presidential contender.

Balala’s political career begun in 1998 with his nomination as councilor in the Mombasa Municipal Council where he subsequently became the mayor and played a critical role in positively transforming Mombasa into a clean and tourist-friendly city.

Source: The Leader

Following the footsteps of Energy Minister Kiraitu Murungi, who asked former Ethics permanent secretary John Githongo 36 questions about the Anglo Leasing scandal, we today pose just a few 10 questions about Mungiki.

1. Why were members of the Mungiki, which had been purportedly outlawed after the killing of 21 people in Kariobangi, Nairobi allowed to hold a demonstration in the middle of the capital in the same year?

2. Why did the members perpetuate another orgy of blood letting in Nakuru as soon as the Narc government was sworn into office?

What did it take to end the killings, and what deals did government officials get into such that the then National Security minister, Dr. Chris Murungaru, could declare the sect “finished”

3. at the outset, Mungiki leaders claimed that it was a harmless cultural organization of young people who had a keen interest in snorting snuff, circumcising women and praying facing some mountain.

At what point did it start cutting off the heads of its defectors, killing “enemies”, having AK-47 rifles and murdering police officers?

4. How come the sect’s spokespeople nad officials – people who have no record of having put in an innocent’s day’s work anywhere – are suddenly living in custom-built multi-million shilling palaces?

5. The National Security Intelligence Service has records of conversations people have in bars.

How come it does not seem to have a clue over the Mungiki which has been extorting protection fees from Matatu operators, landlords and small business people?

6. Why have the police not investigated the backgrounds of people who have claimed links openly with Mungiki?

If investigations of this nature have been done, how come the public does not know?

7. Why did the then special programmes minister Njenga Karume meet with Mungiki leaders, when the sect was proscribed, to discuss mobilizing support for the “Yes” side during the constitution referendum in 2005?

8. Why is the Government of two minds regarding the method to adopt in dealing with a terror organization disguised as a religious sect?

Does this lend any credence to Mungiki’s boast in the past that it has recruited people in the Government, among them police officers and politicians?

9. Try and take over Nairobi’s Harambee Avenue and start collecting power charges and protection fees and see what will happen to you.

Why then is the Government abdicating security in sections of the city (and country) to groups? What is the motive?

10. Why is Mungiki, which is now no more than a tribal army, always most active in the years when there is an election?

And why are those of them arrested always charged with useless offences such as belonging to a prescribed organization instead of murder, assault, female genital mutilation and other offences for which the group is known?

These questions need not be answered in any particular order, but they require forthright and comprehensive responses from the Government that collects taxes to enable it to deal with this kind of nonsense. Any of those who defend Mungiki can also attempt.

Makokha’s Memos – Saturday Nation

Some people might think that 2012 is quite far but as the saying goes, Rome was not built in a day so I’m proposing a forum where we could start a “Kenya Dream-Team” campaign by first nominating 10 relatively reputable Kenyans and then we could slowly market the team in the next 5 years and hopeful when 2012 arrives, we would have a strong team that would change the way politics is currently run by the privileged few.

I know this sounds like a far-fetched idea and quite frankly it is, but as the Chinese proverb goes, a journey of a thousand miles starts with a single step so I do strongly believe that is truly feasible and we could make turn this far-fetched dream into reality!

Once we locked-in on the Dream-Team, we could start working out the logistics of raising campaign funds. This could be a simple campaign like soliciting Ksh.100 donations from 5 million Kenyans (5,000,000 * 100 = Ksh. 500,000,000 (half a billion Kenya shillings)) since it is an open secret that money does play a huge role in any political battle.

Here are my first 3 nominees:
1. Mutavi Musyimi
2. Raphael Tuju
3. PLO Lumumba

(a comment left on kenyapolitical.blogspot.com)

4. James Mwangi (Equity);
5. Titus Naikuni (KQ);
6. Martin Odour-Otieno (KCB);
7. Wangari Maathai (2004 Nobel Peace Price Winner, Founder Green Belt Movement, MP for Tetu Constituency);
8. Bitange Ndemo (PS Ministry of Information & Communication);
9. Peter Kenneth (Asst. Minister-Finance, MP for Gatanga Constituency).

Kenya needs technocrats who can deliver.
(MainaT)

President Mwai Kibaki is a discreet businessman who, though fabulously wealthy, shuns owner-manager kind of business operations where the owner’s hand becomes obvious and visible, much like his predecessor Daniel arap Moi.

He is unlike Raila Odinga, his main challenger for the presidency in the forthcoming elections. With Raila, his or the Odinga wealth is easily identifiable thanks to the more flamboyant and outgoing nature of the Odingas.

The Odinga family, for instance, has the highly visible flagship investments such as the Kisumu Molasses Plant and the gas cylinder manufacturing firm, the East Africa Spectre.

In sharp contrast, everything is very low key with Kibaki. The only fairly known Kibaki family company is perhaps Lucia & Company Ltd which used to operate from Finance House where Kibaki had a private office before he became president.

Lucia & Company has since moved its office to the more prestigious Bishop’s Gardens building in the Kilimani suburbs. This is where members of Kibaki’s immediate family, daughter Judy Kibaki, sons Jimmy, Tony, David and Kagai regularly operate from either manning some family concerns or minding their own private interests.

The Kibaki family is also said to have a direct substantial interest in the prestigious and successful cloth store Deacons. Among other investments where Kibaki is said to have interests include Silver Springs Hotel in the outskirts of Nairobi and Green Hills Hotel in Nyeri.

In earlier years Kibaki was in partnership with Njenga Karume in tourism business via the now collapsed United Touring Company (UTC) which in the 80s was one of the largest and most successful tour operators in the country. Through UTC the two had an interest in Nyali Beach Hotel in Mombasa but it is not clear what became of these interests following the collapse of UTC and subsequent legal battles between Karume and buccaneer businessman Ketan Somaia.

Financial analyst concede that it is hard to estimate Presdient Kibaki’s actual net worth “because the man operates through a series of investment companies and other special purpose investment vehicles”, as one seasoned stock broker told The Leader in an interview last week. The broker had previously handled some accounts associated with investment companies Kibaki had an interest in.

Besides operating under the cover of investing companies, Kibaki also prefers having his investments held in trust through holding companies, which again throw a smokescreen for anyone trying to pry on what he owns and where it is situated.

Perhaps it is because of his professional orientations as an economist where he learnt the art of discretion in matters of money. The shroud of secrecy could also be possibly be attributed to his nature as a man who keeps his private life as confidential as possible.

Whichever the case, president Kibaki is an immensely wealthy man with substantial investments in some of the most profitable companies in the country today.

Financial analysts estimate that the Kibaki family through shares held via investment and holding companies which in turn own shares in blue chip companies at the Nairobi Stock Exchange (NSE) could be controlling an investment empire worth s much as Shs 2 billion.

Besides investing at the NSE, the Kibakis are also big in farming, owning huge farms in several parts of the country.

Among the farms that Kibaki owns include one in Nakuru, a ranch in Naro Moru area near Nanyuki, farming interests via a holding company in Mweiga where businessman Naushad Merali too has an interest, besides property in his rural home in Othaya.

Kibaki is also the best exemplification of the adage “business knows no political enemies” for he is in business with some personalities who are clearly his sworn political enemies.

Of business and strange bedfellows

Official records show that Kibaki, for the first time, teamed up with the likes of former President Daniel arap Moi, former powerful Attorney General Charles Njonjo and motley of other big players of the 70s and 80s towards the end of Mzee Jomo Kenyatta’s regime.

Teaming up in what was like a roll call of who-was-who at the time, Kibaki and co,. formed an investment company which they named Heri Limited and went on a business shopping spree.

First stop was at DT Dobie Limited, the franchise holder of the prestigious Mercedes Benz cars. Here Heri Limited acquired a 40 per cent shareholding. Years later, Heri ltd was to sell its shareholding to Mrs D T Dobie, the wife of the creator of the company at hundreds of millions. In 2000, after holding onto the shares she had acquired from Heri Ltd for about a year, Mrs Dobie sold her majority shareholding to the French firm CFAO making a clean Shs 587 million in the deal.

Heri Ltd also invested heavily in property with its flagship properties being such prestigious Nairobi landmarks as Norfolk Towers, College House and Kolobot Gardens. The company also invested heavily in quoted securities at the Nairobi Stock Exchange (NSE) and was for many years among the top 20 shareholders of ICDC Investments, nation Media Group, Jacaranda Hotel, Standard Chartered Bank, Lonrho Motors East Africa, Housing Finance Company and the Barclays Bank.

Heri also invested in lesser known companies such as Clarkson & Soutehrn Ltd, Taisho Monarch Insurance Company.

In commercial and real estate sector, the company owned substantial shares in Housing Finance Company (324,250 shares), Barclays Bank (352,764 shares), ICDC Investments (158,490 shares) and Standard Chartered Bank (697,837 shares).

Besides having shares in Heri Ltd – which essentially gives him a substantial take in all companies that Heri had invested in – president Mwai Kibaki also has an interest in International House Limited, the company associated with businessman Chris Kirubi and the one that owns the prestigious International House.

In addition to Kibaki, other listed shareholders or directors of International House limited in the company’s annual returns for 2003 were Kiruma iNternational (a company in which Kirunbi has substantial interests), Barclay Trust Kenya, Roirie Ltd and Mr Chris Kirubi.

Even when Kibaki fell out with Moi, Njonjo, Kenneth Matiba or even Njenga Karume, their business links remained intact perhaps sustained by the fact that they operated mainly through investment companies. This arrangement meant that they did not have to meet in order to transact business since the firms were run by hired professionals and all that the shareholders did was to wait for their dividend cheque every quarter or so.

Other discreet operators in Kibaki league

Apparently in the days Kibaki made his money, the operative word in business circles was discreet. At about the same time the man who would be president made his bundle, his contemporaries too, made a good account of themselves. Their vehicle was an outfit by the name African Liaison & Consultants Services Limited (ALCS).

Although the two companies – Heri Ltd (Kibaki outfit) and African Liaison & Consultants Ltd – had some common directors and shareholders cut throat competition existed between the two with each trying to outdo each other when it came to clinching lucrative investment deals. Whereas in the case of Heri Ltd the company’s creators came to the fore immediately on its formation, this was not the case with African Liaison where the shareholders initially stayed behind the mask of a legal firm.

In the initial documents, African Liaison shareholders were lawyers Francis Addley and Amos Wako, both then working with Kaplan & Stratton Advocates. The company’s secretary was listed as Linda I. Lee. Somewhere along the early days of African Liaison Company, Wako ceased being a director and his place was taken by a colleague at Kaplan & Stratton, Leslie Keith Savage.

The two Kaplan & Stratton lawyers continued as directors of the company until Novemebr 1977 when they both resigned and the real owners of the company came to the fore.

Dropping the mask

As 1977 came to a close, the forces behing African Liaison Ltd decided to drop their masks. Thus Julius Gecau, then managing director of the Kenya Power & Lighting Company, Ben Gethi, then commissioner of police, James Kanyotu, then director of Special Branch and the late Bruce McKenzie, then minister for Agriculture were officially listed as directors of African Liaison & Consultants Services Ltd.

However, before the company could really take off, Bruce McKenzie, one of the primne movers in African Liaison, died on May 24, 1978 in an aircraft accident en route from Uganda. Like other mysterious deaths of many politicians, the circumstances surrounding McKenzie death has never been fully explained.

His place in the board of African Liaison was taken in January of the following year by a new player Prahland Kalyanji Jani (who was better known as PK Jani in corporate circles)/ he has since died. After Jani, came in Jeremiah Kiereini as a director.

By 1980, the company was doing very well and was quietly investing in key companies in the economy. Subsequently, an annual general meeting held decided to increase the company’s share capital from one million shillings to Kshs 2.25 million. With the introduction of new shares came in more shareholders and directors.

Trogon Ltd, Coopers & Lybrand Trust Corporation, Feneast Nominees, Thuthuma, Nebanga and Kawakanja ltd took 12,500 each while Tarakuet Ltd had 7,500 shares. Behind the corporate mask at Coopers & Lybrands was Addley, Feneast Nominees (Charles Njonjo), Kawakanja (Kanyotu), Kingsway nominees (Jeremiah Kiereini), Nebanga Company (Ben Gethi), Thuthuma holdings (Gecau) and in Trogon was PK Jani.

Today African Liaison is among the major shareholders in such public quoted companies as CFC Bank, Barclays Bank of Kenya, CMC Holdings as well as Heritage Insurance Company.

Heri Ltd and African Liaison Ltd are not only among the oldest investment holding companies but also two of the firms with most highly connected shareholders. The few millions originators of the two firms invested some 30 or so years ago have multiplied in geometric proportions putting shareholders of the two firms in the billionaires club. Sources well versed in investment matters say that none of the companies was started with more than Kshs 5 million seed money.

Key shareholders of Heri Ltd at its inception

Shareholder	Number of shares held
Kingsway Nominees	122,000
Julius Gecau (former CEO of KPLC)	121,000
Charles Njonjo (Former AG)	96,000
Philip Ndegwa (the late former CBK Governor)	96,000
GK Kariithi (former Head of Public Service)	53,000
DR Njoroge Mungai (former powerful cabinet minister)	44,000
Heny Kinyua (former MD of KPCU)	44,000
Jeremiah Nyaga (former cabinet minister)	41,000
Duncan Ndegwa (former CBK governor)	39,000
Richard Kemoli (business executive with close links with former President Moi)	38,000
Dr Gikonyo Kiano (late former cabinet minister)	35,000
Njenga Karume (Kibaki’s defence minister)	35,000
Hohn Kotut Koitie (prominent business man)	35,000
John Michuki (Internal security minister)	31,000
Coopers & Lybrand (audit firm possibly acting as nominees)	30,000
Kyale Mwendwa (former cabinet minister)	24,000
Mwai Kibaki	19,000
Nick Mugwandia Muriuki (business executive)	19,000
Githui Kariithi Ihiga (former commissioner of income tax)	19,000
Kenneth Matiba (former cabinet minister)	18,000
Sam Waruhiu (lawyer and business man)	17,000
GG Kariuki (former powerful minister now an MP)	12,000
Matu Wamae (former MP)	11,000
David Kamau (prominent businessman)	7,000
James Mugo (former envoy and husband to MP Beth Mugo)	6,000

Source: The Leader Newspaper (Mwenda Njoka)

He was a struggling 30 year old. Then somebody took him to State House one afternoon in 1997. When he went home in the evening, he had eight prime plots worth over Shs 50 million. He has never looked back and is today worth hundreds of millions.

For presidential candidate William Samoei Ruto, the big break in the world of big money and mega deals must have come on Wednesday, December 3, 1997.

This particular Wednesday must hold special significance to Ruto for it is the day he accomplished the hitherto impossible feat of getting himself allocated close to a dozen prime plots in Nairobi; all part of a single day’s work.

These plots were to become the financial launching pad for the ambitious but humbly-bred young man from Eldoret. Today, Ruto’s is a classic story of rags to riches. He may not be wealthy in the leagues of competitors such as Raila Odinga, Mwai Kibaki or Musalia Mudavadi but he is certainly not a poor man even when compared with the other lot of presidential candidates such as Kalonzo Musyoka, Najib Balala and Dr. Julia Ojiambo.

Ruto is a man whose wealth could be in the region of a hundred million plus, quite a Herculean feat for someone who started life with nothing but a burning ambition to succeed ‘no matter what at whatever the cost’.

There are two particular people who played the crucial determining role in showing the then inexperienced Ruto which side was up and which was down in the world of mega-deals – former President Daniel arap Moi and former cabinet minister Cyrus Jirongo. He has never looked back.

Jirongo’s role in the education of Ruto started when the two teamed up in 1992 to create the infamous Kanu youth lobby group YK ’92. Jirongo, as chairman of the then high-powered and on one of the few outfits that were willing to publicly stick their necks out for Moi’s re-election, had unlimited access to President Moi and enjoyed a place of honour at the high table.

Ruto, on the other hand, was a junior official in the outfit with little money and no high-level contacts of the kind Jirongo could marshal with a few phone calls.

But Ruto had something that Jirongo did not have. He had the patience, stealth, surreptitiousness and tenacity of a stalking leopard. Using Jirongo’s good rapport with President Moi, Ruto was bale to use the lobby group’s meetings with the president to worm his way to the head of state and to key state house operatives of the time, such as former presidential aide Joshua Kulei.

While Jirongo was fast, abrasive, impatient and raring to go, behind Ruto’s deceptively innocent looking exterior was a sly and shrewd operator whose calculating ways expressed itself in his curious, one could even say devious, sense of humour.

Ruto, for instance, chose rather interesting names for the companies he used to facilitate various land deals. Ruto’s main vehicle for land deals was Oseng Properties Limited. The name Oseng or osengeng is the Kalenjin for ‘these fools’. He had another firm that went by the name Orterter Enterprises Limited. Translated, orterter means ‘we must win’. Another of his operational firms went by the name Matiny Limited. In Kalenjin Matiny stands for ‘whatever the cost’.

These were some of the more creatively named companies that Ruto used to effectively climb the financial ladder.

Soon after the 1992 general elections, the fast paced Jirongo had, who like the fabled Daedalus and Icarus of Greek mythology had flown too close to the sun, had his wings melting. Ruto, together with a few other more calculating members of YK ’92, quickly distanced themselves from the falling Jirongo and besides helping twist the political knife stuck in Jirongo’s backside; Ruto and co. swiftly used the Jirongo crisis in Kanu to get even closer to the powers that be. By so doing they inched as near to the ultimate dispenser of public goodies – President Moi – as they could.

Significantly, today, Ruto hardly sees eye to eye with either of his mentors, Moi and Jirongo. In his determination to achieve an individual political identity and autonomy he has slowly sought new friends and considers politicians like the ODM supreme Raila Odinga, as more important to his political evolution.

Record plot allocations

It all started with the formation of a company that went by the name Oseng properties Limited early in 1997 where Ruto was listed as director and chairman of the company, with his business right hand man Paul K Chirchir acting as the company secretary.

Hardly had the registrar’s ink died on the company’s registration certificate than Oseng Properties Limited was in real business. The most active day for Oseng Properties was December 3^rd 1997.

The day started with an application to president Moi by Oseng Properties fro allocation of a dozen or so prime commercial properties in the city’s plush suburbs and Ruto’s company’s given registration documents bearing the legend:

“Know all men by these presents that in consideration of the sum of shillings (relevant amount indicate) by way of stamp premium paid on or before the execution thereof, The president of the Republic of Kenya hereby grants unto Oseng Properties Limited all that piece of land situate in the City of Nairobi…..”

On that December day, Oseng Properties Limited and Orterter Enterprises were allocated at least eight plots whose total value was estimated to be in excess of Shs 50 million. Early the year that followed the companies were back in business. Two more plots were allocated on February 16 and another on two days later. On average Ruto’s companies paid the government between Shs 50,000 and Sh 280,000 for the plots as statutory dues.

The cash cow

It was these plots that he used a few days later to get millions of shillings from City Finance Bank Company and Ajay Shah’s collapsed trust Bank. Using some of these plots a s collateral, Ruto got some Kshs 50 million from City Finance bank on July 2^nd 1998.

Then on November 24^th 1998, he had another plot charged to the same fiannce company for Shs 7.5 million. The same property was later discharged and subsequently charged to Kenya Commercial bank for a loan of Shs 9.75 million.

It is certainly with the monies he got from these land dealings that Ruto was able to set himself in the world of business, and hence the world of the privileged.

Among his first business project was in the real estate initially with his erstwhile friend Cyrus Jirongo. Together they constructed a block of apartments in Ngong area sometimes in 1993 although Jirongo was the main financier for the project.

The value of the apartments, estimated to be worth at least Shs 50 million at the time, should have appreciated substantially by now and must be worth hundreds of millions. However, these apartments were later to lead to a bitter row between Ruto and Jirongo. It is not clear how the matter was ultimately settled but each party had accused the other of behaving dishonestly in the deal.

Years later Ruto would construct his own block of rental apartments along Jogoo road. The Jogoo Road apartments were estimated to be worth around Shs 50 million.

He was to diversify his line of business later and teaming up with some friends to set up an insurance company –AMACO- which did lucrative business during the last days of the Moi government. At the time Ruto had joined Moi’s inner core and had been elevated to a cabinet minister as he assisted Moi to promote project Uhuru where the former unsuccessfully tried t have Uhuru Kenyatta succeed him.

Not many others of Ruto’s businesses are in the public domain, but the aspiring ODM presidential candidate has obviously den well for himself. He has moved from a relatively poor man ten years ago to the multi-millionaire he is today with a palatial home in Karen, another equally opulent home in his rural Eldoret suburbs plus rent apartments, farms and other asserts.

Uhuru Muigai Kenyatta is the man to watch, for the next twist in the never ending Orange Democratic Party Kenya (ODM-K) power struggles continue.

Our sources say that Kanu is considering pulling out of ODM-K to enter into negotiations with a breakaway group from the Liberal Democratic Party (LDP) in what may emerge as another third force.

It was however not clear if politicians allied to Kanu Secretary General William Ruto will come along in the new move.

In the formative days of ODM-K coalition a sharp split was about to take place in Kanu when Ruto and Uhuru differed over membership of ODM-K. Their arguments spilled over to the National Executive Committee-the chief decision making organ of the party, from where Uhuru agreed to join the coalition thus keeping their faction of the party intact.

However, Uhuru has not played a key role as a presidential aspirant in ODM-K. He has remained in the background, may be hoping that the delegate system favours him or just having exhausted all chances of having a leading role in ODM-K.

A closer look at his activities shows that he has not been criss-crossing the country campaigning, neither is he running an election oriented secretariat like his peers in ODM-K.

Strategists in his 2002 secretariat, say that he has yet to give a go ahead for the launch of his vision, a style being used by all other interested candidates for announcing the bid for the ODM-K nomination for president.

So disinterested is Uhuru according to one of his key officials at the secretariat, “that he has not even been talking about his position in ODM-K. Only last week we were preparing how to meet Kanu leaders in Magarini in preparation for the by-election.”

The Magarini by-election in Coast province next month, we established, could be the first mark of the split as Kanu insists that it would field its own candidate in the area, “since ODM-K was yet to solve the issue of the symbol,” the official said.

Already politicians allied to the Gatundu South legislators have hinted that they are getting uncomfortable and they are ready to reduce ODM-K house into a Liberal Democratic Party affair, should their sentiments not be heard.

Siakago MP, Justin Muturi, considered a key ally of Uhuru, has been hinting that the party was not willing to be part “of a cheerleading team to watch as a section of leaders ascend to power without proper processes being followed.”

Muturi’s sentiments might have been fueled by the high profile given to his perennial political enemy Joseph Nyaga, who is also the Gachoka MP. He is one of those who are seeking the ODM-K’s nomination as a presidential candidate.

“The party should start by reducing the number of presidential candidates, some of them are not credible, they are just seeking higher positions so as to keep their constituency offices,” Muturi was quoted saying.

However, Nyaga’s relations with Langata MP Raila Odinga, the de facto leader of ODM-K, and his support for the aborted London ‘bonding’ trip earned him crucial backing, with Raila hitting back, ‘we will surely reduce the presidential candidates, but not through meetings but by votes.”

Uhuru has not helped calm matters either, he is categorical that wider consultations must be held before deciding on the presidential candidate. In fact during the recent law Society of Kenya (LSK) luncheon, Uhuru was emphatic that ‘some politicians will walk away if the party flag-bearer was mot elected’.

However, reached for comment after the event, Uhuru said that ODM-K would survive the political tide and that despite the expected backlash from his home constituency he would stick to his political strategy, “since time has come to rise above partisan politics that preach ethnicity and hatred.”

“Issue based politics and not our dialects is what will make this country catch up with industrialized nations and galvanise our resources. I want to be counted as a leader who believed in a cause and not one who died fighting for his tribesmen to be in power for the sake of being in power,” Uhuru said.

“No one can deny that the survival of ODM-K is going to be based on how democratic we choose our flag bearer, but Kenyans can be sure we will do our best to keep the promise of great leadership and the promise of a free society as we deliver our flag bearer. The task is on my colleagues and I and we shall rise to the occasion,” Uhuru said.

Pressed to say what would happen if a section of leaders did not keep the promise he was evasive, “lets cross the bridges when we get there, but I can tell you no-one is ready to stay where democracy is preached but not practiced, we have a reputation to safeguard.”

Uhuru Kenyatta’s candidature in ODM-K has not been certain. One time Uhuru appears fully committed to the ODM cause, the next time, he goes quiet and missing from the scene only to reemerge again to declare his commitment to the party.

Having been sidelined in ODM-K he has several options, one of which is to strengthen Kanu and go it alone as the party’s presidential candidate or seek a coalition with other parties that will support his presidential bid or at least give him a clear role in the coalition.

Uhuru garnered 1.8 million votes in the last election and though he was far behind President Kibaki in the race, he was seen to be getting more popular towards the end of the campaigns especially to young voters. Those close to him say that it is just a matter of time for him to realign his team.

And once Kanu is out of ODM-K, the party (ODM-K) will be felt mainly as an LDP affair.

Honourable Norman Nyagah must have now realized just how precariously his position in Kamukunji is. The government’s chief whip must have also learned that tough talking does attract and not repel opponents.

He stirred the hornet’s nest when he annoyed his constituents not only because he allowed the Constituency Development Fund (CDF) kitty to accumulate ‘for purposes of doing bigger things’, but by chest thumping that no man can ‘bwogo’ him.

His statements are like those Kibwezi MP Kalembe Ndile says would make one lose two thousand votes at a time. By the number of times he spoke he could have lost many votes.

Smart and opportunistic politicians watched the unfolding drama on the sidelines. They knew when to strike. First it was SDP-turned-KANU-turned-LDP man Tony Gachoka who made the first plunge to the political ring of Kamukunji. The fellow who lost bitterly to the tycoon of Juja William Kabogo in the last election might not pose a big threat to the incumbent.

Then came the man of miracles Pius Muiru had a revelation Well, his bid suffered an instant blow when the party on whose ticket he wanted to run disowned him. Somehow he managed to re-invent himself and got a straw to lean on in form of a party called Kenya Peoples Party (KPP). Still it is a tall order for the man of maximum miracles to dethrone the son of former King of Embu politics, Jeremiah Nyaga.

The league expanded by the day and started to attract big timers and now there is eminent danger in Nyagah’s political aisle. Prominent and wordy lawyer PLO Lumumba has rolled his sleeves in readiness for battle. Last week he paid a visit to the constituency and mingled with the locals. He announced that the time to red card non-performing leaders has come. So far no one knows what he has achieved especially after being the Secretary of the Constitution Reform Commission and without a constitution to show after several years.

He however was undeterred. He went into a demonstration mode to show what good leaders are supposed to do. With a slather he invaded a nearby bush of grass and with power and enthusiasm of one who really needs to be elected cleared the bush. Perhaps a symbol that when elected Kamukunji will be that clean. And if the kind of vigour and passion he demonstrated in cutting grass is the same way he will handle Kamukunji issues, he may have what it takes. Coupled with his tiring eloquence this is a man who just might cause some ripples in the territory of the younger of the two Nyagah sons in politics.

Finally, comes Jimnah Mbaru, the former Nairobi Stock Exchange Chairman.. With resources and popularity to match, Mbaru might be the man to give Nyagah hot pursuit. In 2002 he lost to Maina Kamanda in the Narc nominations. And guess what, he is not attempting to unseat Maina again. Mbaru must have seen the opportunity come up in Kamukunji as Nyaga made a mess of things.

With miracles, gift of garb and smart money people after his job, Nyaga has reason to have sleepless nights.