Top detective George Kinoti says he has sufficient evidence to prove that Lugari MP Ayub Savula conspired with some 'elements' within the Ministry of Information and Communications to defraud Government Advertising Agency close to Sh123 million.
Mr. Savula, a close ally of DP William Ruto, was being held at DCI headquarters awaiting to be arraigned on Monday for fraud.
The GAA was created in 2015 to help the government reach media outlets when disseminating information to the general public.
However, the DPP noticed fraudulent activities in the agency after top media outlets complained of not being paid despite advertising for government.
The GAA owes Standard Group Sh829.7 million, Nation Media Group Sh857 million and Star Publications Limited Sh469.3 million.
It also owes Mediamax Network Sh586.3 million and Royal Media Services Sh75 million.
“There are advertising companies that were paid some big amounts of money but when searched from the registrar of companies they were found not to exist. They are not registered,” says part of the police report.
At least 99 ghost companies some owned by the second term MP, a former Standard Media Group reporter, are said to be beneficiaries.
Mr. Savula's arrest comes at the time President Uhuru Kenyatta had renewed his efforts in the fight against graft in which he has reallocated powers to the DCI from the EACC.