From oxygen scam to change of name; why EACC wants UDA candidate in Mbeere arrested

Deputy President Kithure Kindiki leading campaigns for Leo Wamuthende, the UDA candidate in next Thursday’s Mbeere North Constituency by-election.[DCS]

The man being supported by President Ruto and his deputy, Kithure Kindiki for the Mbeere North parliamentary seat, according to the Ethics and Anti-Corruption Commission, is a scammer.

Documents availed to the Saturday Standard from the anti-corruption watchdog finger Leonard Muriuki Njeru as the mastermind behind a Sh643,000,000 million oxygen generation plant that was to stabilise Kenya’s biggest referral hospital. 

While the oxygen plant scandal has left KNH with hundreds of million in public money missing, Njeru’s personal fortunes appeared to soar as he is now vying to represent Mbeere North under the banner of the ruling United Democratic Alliance (UDA).

President William Ruto and Deputy President Kithure have been actively campaigning for Muthende despite EACC last month publishing in their report that they had recommended he be prosecuted and forwarded his file to the ODPP.

In a curious case, Njeru legally changed his name shortly after the EACC’s damning report surfaced, now campaigning as Leo wa Muthende Njeru. In a gazette notice number 1575 dated September 3, he changed his name to signify a fresh start. “Leo Wa Muthende formerly known as Leonard Muriuki Njeru formally and absolutely renounced and abandoned the use of his former name...for all purposes and authorises and requests all persons at all times to designate and address him by his assumed name Leo Wa Muthende Njeru only.”

The roots of the scandal start in Afya House, the Ministry of Health headquarters. In 2022 the ministry decided to take over procurement of the oxygen plant from KNH hospital. Normally, such purchases fall under the hospital’s jurisdiction, given its semi-autonomous governance structure. However, under Principal Secretary Susan Mochache’s leadership, the Ministry centralised the process. 

The winning bidder for this contentious contract was Biomax Africa Limited, a firm led by Muthende. 

Dr Evanson Kamuri, who was the CEO of KNH during this period, was ordered to acquiesce to the deal. Though called upon to witness the signing of the contract, he had no say in its management because KNH was not the actual procuring entity. Seeking clarity, KNH turned to Public Procurement Regulatory Authority (PPRA), which confirmed that the Ministry of Health was fully responsible. 

The oxygen plant was developed in partnership with Novair Group, a French manufacturer. The tender committee and the management of KNH travelled all the way to France to inspect the industrial park that was to manufacture the oxygen plant.

The expectation was simple and straightforward: Njeru was to install a fully functional oxygen plant capable of producing 8,000 litres per minute (LPM). But more than two years after the contract was signed, the plant remains largely silent and unfinished. KNH continues to rely on costly liquid oxygen deliveries from private firms. From July 2023 to February 2024, the hospital paid out over Sh168 million for external oxygen supply—a sum that could have been saved if the plant worked as intended.

Biomax’s defence has been to point to a poor power supply and an unsuitable installation location for the project’s shortcomings. However, when tested, oxygen purity levels came out at just 60 per cent, way below the 95 per cent typically required for medical use. This renders the supply ineffective and unsafe. Even KNH’s purchase of a backup generator for Sh100 million did little to revive the white elephant sold to them by Njeru.

Investigations led by the EACC revealed that Biomax lacked the required experience for a project of this scale. Moreover, the company’s submissions included forged documents, while the tender committee appeared to have skipped essential vetting procedures. The EACC report reads, “Biomax Africa falsified three performance bids, falsified reference letters, in respect of top previous work of a similar nature done by the company and also provided falsified curriculum vitae of alleged three technical staff in order to meet the criteria set out in the tender documents. Biomax also failed to deliver a functional oxygen plant at KNH yet it had received a payment of Sh290,704,072 hence fraudulent practice by the said company.”

Apart from the enormous expenditure on liquid oxygen, the hospital incurred extra costs exceeding Sh100 million to acquire transformers and generators—expenses initially billed to Biomax. The hospital’s electricity bills have ballooned by around Sh500 million annually due to the plant’s high energy demands despite its lack of output. 

With its investigation completed, the EACC has recommended charges against 11 individuals—spanning Ministry of Health officials, members of the KNH management, and directors of Biomax Africa Limited. Accusations include abuse of office and contravening procurement laws. The file has been forwarded to the Director of Public Prosecutions for further action. EACC head of corporate communications Stephen Karuga told the Saturday Standard: “EACC does not clear candidates vying for election. That mandate rests with the IEBC as provided for in the Elections Act. When requested by the IEBC, the Commission provides advisory on the suitability of a candidate to inform the IEBC’s decision on whether to clear the candidate or not.” 

Attempts to reach Muthende were unsuccessful, and he neither picked calls nor replied to text messages.