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### Viewing cable 06NAIROBI4631, AG Wako sends Anglo-Leasing Files Back to KACC; Shell Game

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Reference ID | Created | Released | Classification | Origin
--- | --- | --- | --- | ---
06NAIROBI4631 | 2006-10-27 14:02 | 2011-03-18 13:01 | CONFIDENTIAL | Embassy Nairobi

`

    VZCZCXYZ0004
    OO RUEHWEB

    DE RUEHNR #4631/01 3001404
    ZNY CCCCC ZZH
    O 271404Z OCT 06
    FM AMEMBASSY NAIROBI
    TO RUEATRS/DEPT OF TREASURY WASHDC IMMEDIATE
    RUEHC/SECSTATE WASHDC IMMEDIATE 5157
    INFO RUEHXR/RWANDA COLLECTIVE PRIORITY
    RHMFISS/FBI WASHDC PRIORITY

` `

    C O N F I D E N T I A L NAIROBI 004631

    SIPDIS

    SIPDIS

    DEPT FOR INL/C/CP KOHN, AF/EPS HASTINGS
    TREASURY FOR WHYCHE-SHAW

    E.O. 12958: DECL: 09/30/2026
    TAGS: KCOR KCRM PREL ECON EFIN KE
    SUBJECT: AG Wako sends Anglo-Leasing Files Back to KACC; Shell Game
    Continues

    REF: NAIROBI 4321

    Classified By: Ambassador Michael E. Ranneberger for reasons 1.4 (B)
    and (D).

    ¶1. (C) Summary: As predicted in reftel, Kenya Attorney-General Amos
    Wako sent the files of 12 prominent people recommended for
    prosecution back to the Kenya Anti-Corruption (KACC), saying they
    were inadequate to ensure successful prosecutions in court.  The
    latest developments indicate that Anglo-Leasing prosecutions may be
    unlikely prior to the December 2007 election.  End summary.

    AG Wako Sends Files Back to KACC
    --------------------------------

    ¶2. (U)  On October 2, KACC Director Justice Ringera sent the
    investigation files of 12 officials implicated in the Anglo-Leasing
    scandal, including five Ministers, to Attorney-General Amos Wako with
    recommendations for prosecution.  On October 18, Wako sent the files
    back to the KACC, saying what had been presented to him was not
    sufficient to ensure successful prosecutions in court.  He identified
    deficiencies that he and the staff of the Department of Public
    Prosecutions (DPP) found in the files, and asked KACC to carry out
    further investigations and re-submit the completed files in 30 days.
    Wako encouraged KACC to consult the DPP Director Tobiko and his staff
    "to ensure the files are complete when they are re-submitted to me
    for final determination."  Over the next few days, Wako and Ringera
    publicly exchanged criticisms of the other's claims and defenses of
    their own, leaving the issue unresolved.

    Further Postponing any Prosecution
    ----------------------------------

    ¶3. (U)  AG Wako's action continues the postponement of prosecution of
    opposition Orange Democratic Movement (ODM) presidential hopeful
    Musalia Mudavadi and former Cabinet ministers Chris Murungaru
    (Transport and Internal Security), David Mwiraria (Finance) and Chris
    Obure.
    Other officials whose files were returned include former permanent
    secretaries Dave Mwangi (Internal Security), Joseph Magari (Finance)

    SIPDIS
    and Cyrus Kyungu (Transport), a former financial secretary and four
    former Government officials.  All were implicated in five Anglo
    Leasing-type projects totaling Sh22 billion ($293 million).

    ¶4. (U)  Both Ringera and Wako have come under intense criticism for
    their handling of the Anglo-Leasing investigation and the lack of
    prosecutions.  Ringera was embarrassed by former anti-corruption czar
    John Githongo's statements about Ringera's reluctance to prosecute,
    and complaints about KACC's high compensation and poor results.  Two
    weeks ago, a group of lawyers defending a lower-ranking official
    noted that Wako had personally signed off on all the Anglo-Leasing
    deals.  MP Mutula Kilonzo and other questioned Wako's ability and
    standing to prosecute the cases and called for Wako to resign.

    Can the GOK Prosecute Anglo-Leasing Perpetrators?
    --------------------------------------------- ----

    ¶5. (C)  The FBI legal attache at post believes KACC will not be able
    to overcome the difficulties inherent in any historical corruption
    investigation, such as voluminous documents and reluctant government
    witnesses.  He has advised KACC that addressing current corruption
    would be a more effective use of its resources than trying to
    prosecute Anglo-Leasing and other historical cases.  He has offered
    assistance on proactive investigative techniques, such as undercover
    operations and informants.  The Department of Justice Resident Legal
    Advisor (DOJ/RLA) concurs that historical cases are more labor
    intensive and difficult, but recommends we should continue to
    encourage greater coordination and cooperation between the
    Directorate of Public Prosecutions (DPP) and KACC to ensure that
    Anglo-Leasing and other cases are thoroughly investigated and
    prosecutable files are developed.  He notes that Post has already
    committed resources to DPP to build its capacity to prosecute complex
    corruption and fraud cases.  Both approaches would require more
    political will from the GOK.

    Comment
    -------

    ¶6. (C)  As predicted in reftel, Wako, Ringera, and the Kenyan legal
    system are likely to keep the Anglo-Leasing shell game going until
    the December 2007 elections.  This will allow politicians to keep
    flinging allegations and denials without ever facing real
    prosecution.  Given President Kibaki's unwillingness to act against
    the perpetrators revealed in John Githongo's dossiers and recordings,
    political accountability in grand corruption cases may have to wait
    until after the December 2007 election.  Even if the GOK found the
    political will to prosecute, the time elapsed since the contracts

    were signed and the difficulty of obtaining evidence and testimony to
    prove guilt in court will make it very difficult for KACC and DPP to
    obtain and/or sustain any Anglo-Leasing convictions.

    Ranneberger

`