Is KPC Colluding With Oil Marketers To Sell Adulterated Fuel And Declare Losses?

An audit report by Chet Holdings has revealed that some oil marketers may have colluded with unscrupulous Kenya Pipeline corporation (KPC) officials to sell water instead of fuel to unsuspecting Kenyans.

The report also highlighted that millions of litres of water passed through the pipeline from March,2018.

“There were huge amounts of water drained through the period under review without source or time when it came into the system…Possible malice or ill intent by the staff is not ruled out as drainage of water without verification could be abused by fraudulent persons,” the report indicated.

An oil marketer who spoke to the Sunday Nation confessed that that  water was being added to the fuel. He said that on May 1, 100,000 litres of water was loaded into the pipeline within five hours. This  claims have been denied by the KPC Managing Director Joe Sang who has said that the presence of water in fuel is a normal phenomena as fuel contains hygroscopic matter.

The report indicates that the oil marketers and  the rogue officials declare losses after selling the adulterated fuel raking millions from Kenyans who are forced to pay higher prices for fuel to cater for the alleged ‘losses’.

Read: The Ksh 1.8 Billion Kisumu Oil Jetty Scam Pulled by John Ngumi at KPC

This matter is already under investigation as the DCI already summoned the managing director over the massive losses at the parastatal .

The company is said to have lost over Ksh70 billion through flawed tendering processes, inflated prices and scandalous deals.

“This office is investigating a case of embezzlement of money, through theft by some oil marketing companies in collusion with Kenya Pipeline Corporation staffs by way of unapproved fuel advancement to the oil marketing companies,” reads the letter from the DCI, addressed to Sang.

This year KPC has been rocked with scandals  that has led to some of its employees to be sent on compulsory leave  for loss of Ksh600 million.

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