Ezra Chiloba Resigns From CA

The authority announced Chiloba's resignation on Thursday, October 19, after he penned a letter to Mary Mungai, the chairperson of the CA board

Ezra Chiloba Resigns From CA
Communications Authority of Kenya (CA) Director General Ezra Chiloba. /COMMUNICATIONS AUTHORITY OF KENYA (CA)

Communication Authority of Kenya (CA) Director General Ezra Chiloba has resigned.

The authority announced Chiloba's resignation on Thursday, October 19, after he penned a letter to Mary Mungai, the chairperson of the CA board communicating his resignation on Wednesday, October 18.

"The Board of Directors of the Communications Authority of Kenya (CA) has this morning, 19th October 2023, accepted the resignation of Mr. Ezra Chiloba as the Director General," read the notice by the authority in part.

"On behalf of the Authority, I wish the outgoing Director General success in his future endeavours and appreciate his invaluable contribution to the organization and the wider ICT sector," said the CA Board Chairperson.

Communication Authority of Kenya (CA) headquarters in Nairobi. /FILE

Chiloba was on Monday, September 18 suspended from the authority following a board meeting, which saw Christopher Wambua appointed the Director-General in an acting capacity.

"Following a meeting of the Authority’s Board held on 18th September 2023, resulting in the suspension of the Director General, I am pleased to inform all staff of the appointment of Mr Christopher Wambua as a Director General in Acting Capacity effective today until further notice. I trust that you will accord him the necessary support," Mungai stated then.

As Viral Tea exclusively reported, Chiloba was suspended owing to gross misconduct. He had applied for and self-approved a Ksh25 million mortgage loan to facilitate the purchase of a property between himself and Jacob Simiyu Wakhungu without subjecting the transaction details to interrogation and approval by a higher authority.

CA had listed a disbursement of the loan of Ksh25,000,000 to Kitale Hilmost Limited, but a Company Search with the Business Registration Bureau revealed that the seller entity is owned entirely, as the sole shareholder and the sole director, by Chiloba, the Director General who is also the buyer in this case.

"This is reasonably construed to be demonstrative of an intent to defraud the Authority," the statement of the meeting accused the former Chief Executive Officer (CEO) of the Independent Electoral and Boundaries Commission (IEBC).

The board in the meeting cited a letter dated December 3, 2022, with instructions to pay the Ksh25 million to Chiloba's entity, directions which were adhered to on August 11, 2023.

Chiloba was also said to have purchased a house and seven acres of land which is beyond the required one-acre limit provided by the Civil Servants Housing scheme requirement.

The committee noted that Chiloba’s loan application was approved by a junior staff member and there is no evidence to support the fact that the junior staff member carried out requisite due diligence and advice management including but not limited to the relationship between the seller and the buyer and the size of the property.

CA found that there was an overvaluation of the property by 64.47% which is contrary to the entitlement of 1 acre resulting in a mortgage of Ksh25 million instead of Ksh16,720,000

"Clearance of exiting staff without review of mortgages being held causing financial exposure to CA of Ksh28,874,815.62.

"Understating loan balances for former employees without factoring the interest component thereby causing a risk of loss of funds totalling Ksh1,060,520.66," added the CA board.

Consequently, the committee recommended that explicit disciplinary actions be undertaken against Chiloba for fundamentally breaching his obligations arising under the contract of service, leading to his suspension.

During the meeting, the committee further recommended the suspension of; Human Resources, Legal Services, and Finance directors as well as the Internal Auditor.

Ezra Chiloba during a past session in Parliament. /NAIROBI NEWS

Chiloba joined CA in September 2021 after a competitive recruitment process that saw him beat over 100 applicants for the top job. He replaced Francis Wangusi, whose second and final term ended in 2019.

Before his appointment, Chiloba was a board member of the Youth Enterprise Development Fund (YEDF), a state agency that provides loans and grants to young entrepreneurs.

He was also the former Chief Executive Officer (CEO) of the Independent Electoral and Boundaries Commission (IEBC), where he oversaw the controversial 2017 general elections and the repeat presidential election.