EACC Stops Auction of Matili Technical Training Institute Property Over Fraudulent KSh17 Million Claim

 

By Phanice Rono 

The Ethics and Anti-Corruption Commission (EACC) has successfully halted the auctioning of property belonging to Matili Technical Training Institute in Bungoma County after uncovering what it termed as a fraudulent claim amounting to KSh17 million.

The High Court in Bungoma granted the Commission provisional injunction orders restraining a private construction company from disposing of the institution’s property, which had been seized as part of efforts to recover the alleged debt.

According to court documents, the contractor had already moved to auction a variety of items, including vehicles, power generators, electronics, and food supplies meant for students, in a bid to recover the purported loan. Notably, a vehicle used by the school’s driving department had already been auctioned prior to the court’s intervention.

In her ruling, Lady Justice Sharif Monaisha ordered the immediate suspension of any further sale or transfer of ownership of the seized assets until the case filed by the EACC is fully determined.

“The transfer of the vehicle and any intended sale or disposal of the institution’s property shall be halted pending the outcome of the EACC petition,” the court ruled.

EACC investigators told the court that the KSh17 million debt being enforced by the contractor was fictitious, as the company had already been fully paid for all its services to the institution by 2017. However, in 2020, the contractor filed a fresh suit alleging non-payment, which culminated in a favorable court judgment in January 2024—a decision that the anti-graft agency now seeks to overturn.

The Commission has since obtained new evidence suggesting that the previous judgment was obtained through forged documents and misleading information that were not presented during the initial proceedings. EACC is now seeking to reopen the case, have the earlier judgment set aside, and recover any funds or assets that were illegally obtained.

The latest development has been met with relief among staff and administrators at Matili Technical Training Institute. Speaking to KBC, one of the institution’s administrators expressed gratitude to the court and EACC for intervening, noting that the auction had significantly disrupted training and operations.

“We were under great strain since we lost some of our vehicles last year. The court’s decision gives us hope that justice will be done,” the administrator said.

EACC officials have confirmed that investigations into how the contractor obtained the earlier judgment are ongoing, and that any individuals found to have participated in the alleged fraud will face legal consequences.