Over the course of a few years, Adil Khawaja and Mwende Gatabaki, two professionals working in different sectors, have had one thing in common: they have strong relationships to President William Ruto and other key players in the Kenya Kwanza government, either in their personal capacity or via their families.
In a move that highlighted a second item that Mr. Khawaja and Ms. Gatabaki had in common, the big telecommunications company Safaricom made the announcement on September 21 that it had been contracted, together with other institutions, to construct an integrated healthcare information technology system.
In one of the most ambitious plays that any Kenyan government has ever tried to create, both of these people are major cast members. The play is about using technology to deliver cheap healthcare to all of Kenya’s residents.
Safaricom has signed a contract with Konvergenz Network Solutions Limited and Apeiro Limited to deliver the IHTS in order to fulfil the requirements of the Universal Health Coverage (UHC) initiative.
According to their respective shareholdings, each of the three companies will contribute a total of 104.8 billion shillings to successfully install, maintain, and support the IHTS system over the next ten years.
Safaricom, where Mr. Khawaja serves as board chairman, is leading the IHTS development, which is worth Sh104.8 billion and would benefit Mr. Khawaja and Ms. Gatabaki.
Both Mr. Khawaja and Ms. Gatabaki have stated that their engagement is above board and that there was no conflict of interest or favouritism in their service offering to the project. This is despite the fact that they have strong connections to the President and major decision-makers in his government.
Mr. Khawaja’s current job title is Safaricom Board Chairperson. Additionally, he is the managing partner at Dentons Hamilton Harrison & Mathews (HHM), which is also the place of employment for President Ruto’s son. For a very long time, Adil has been a close friend of the President.
The acquisitions may result in a significant increase in Mr. Khawaja’s profits as a partner at HHM, notwithstanding the fact that it is highly unlikely that the agreements would add to Mr. Khawaja’s earnings as board chair at Safaricom.
Ms. Gatabaki, who has a background in information technology, was the Kenya Tea Development Agency’s seven-year manager of information and communications technology (ICT). In addition, she is the spouse of David Ndii, who is a member of the president’s team of economic advisers.
In addition to being a member of President William Ruto’s team of economic advisers, David Ndii is married to Mwende Gatabaki, who is experienced in the field of computer technology.
Their relationship to shot callers in the Kenya Kwanza government has brought attention to their individual involvement in multibillion-shilling agreements under the UHC program. This is despite the fact that they are well-regarded specialists in their respective industries.
Kaplan & Stratton, Safaricom’s longstanding legal representation, and Anjarwalla & Khanna (ALN Kenya) are representing Apeiro in the UHC agreement. While all this is happening, HHM is present to represent Konvergenz.
The early advice we provided Konvergenz should be taken into consideration. Mr. Khawaja stated that Konvergenz is a significant technological company that has successfully completed numerous large-scale projects.
According to Mr. Khawaja, HHM merely provided Konvergenz with some early assistance; nevertheless, documents at the Business Registration Service reveal that the law firm’s engagement with the business goes considerably further than that.
On April 2, 2014, Asha Abdi Sheikh and Mohamed Abdi Yunis established Konvergenz Network Solutions Ltd., each holding fifty shares of the company. Reports indicated that Abdullahi Abdi Sheikh served as a director of the corporation, but he did not hold any shares.
The numerous ownership changes that took place at Konvergenz Network Solutions in 2023 resulted in a complicated organisational structure, making it difficult to determine the company’s beneficial proprietors.
In the new ownership structure, four senior attorneys were shareholders in holding companies that co-own Konvergenz Network Solutions.
This indicates that these lawyers may be holding shares in trust for others who want to remain unknown.
In the beginning, Mr. Sheikh was a director, but he did not have any stocks. Later on, he became a part owner, and he now has five shares in his own name.
In addition to that, they gave Pitfield Auto Limited five shares in the company. A formal formation of the company took place on July 3, 2023, the company was officially formed.
Dr. David Ndii serves as chairperson for the Presidential Council of Economic Advisors.
Dorothy Chepkoech Kipkenda is the only shareholder and director of Pitfield Auto Ltd., according to the company’s website.
In addition to being a lawyer and the managing partner of Kipkenda & Company Advocates, Ms. Kipkenda has worked as a senior legal assistant at the National Water Conservation and Pipeline Company in the past. She owns all one thousand shares of Pitfield Auto Ltd.
On May 17, 2023, Konvergenz Holding Company Ltd., a newly established company, received ninety percent of Konvergenz Network Solutions’ shareholding.
Mr. Sheikh and Issa Sheikh Mohamed are the company’s most significant owners, known as Konvergenz Holding Company Ltd. Each of them owns 500 shares of the company.
Other shareholders in Konvergenz Holding Company Ltd. include Commtech Consortium Ltd., which has 403 shares, and Galva Investments Ltd., which holds 209 shares. Commtech Consortium Ltd. went through the process of becoming a company on March 23, 2023.
Both lawyers, Deborah Linet Ontiri and Peter Jr. Okaalet, own the Commtech Consortium. Ontiri has eight shares, whereas Okaalet has two. They both work at Hamilton Harrison & Mathews, along with Adil Khawaja.
Mr. Okaalet is a partner in the corporate, commercial, and real estate areas of the legal firm with which he is affiliated.
Mr. Okaalet supervises Mr. Ontiri as a senior associate in the corporate, commercial, and real estate areas. The Commtech Consortium website lists Elvis Charo Kitsao as a director, but he does not own any shares of the company.
On April 14, 2023, Galva Investments incorporated.
Nuru Ahmed Said, a different attorney, is the sole owner of all one thousand shares of Galva Investments. Ms. Said, as the managing partner, leads the firm of Hassan Madowo Said Advocates. In order to represent Galva Investments’ interests, she is a member of the board of directors of Konvergenz Holding Company.
Hamilton Harrison & Mathews elected Nancy Gitau Waithera, another lawyer, to Konvergenz Holding Company Ltd.’s board of directors. When they are on the board, they represent the Commtech Consortium’s interests.
Issa Sheikh Mohamed and Abdullahi Abdi Sheikh are the other members of Konvergenz Holding Company Ltd.’s board of directors. In addition to this, they are the sole directors of Konvergenz Network Solutions, which provides fieldwork services.
Mr. Khawaja stated that the Universal Health Coverage (UHC) initiative existed even prior to his appointment as Safaricom’s chairman.
Former President Uhuru Kenyatta initiated this policy, which Kenyans are only now beginning to observe. The attorney indicated that they had carried out a substantial amount of background research over the course of the previous two years.
Apeiro has 59.55 percent of the stock in the consortium, making it the dominant stakeholder. Safaricom and Konvergenz, on the other hand, have a stake of 22.56 percent and 17.89 percent, respectively.
Apeiro, a registered entity in the United Arab Emirates (UAE), founded Apeiro Kenya Technologies Ltd. to carry out the assignment. Ms. Gatabaki is the firm’s director, according to the listing.
“Apeiro approached me about establishing their local office because they are based in the UAE,” said Gatabaki in her statement. “They wanted someone to lead their digital project here in Kenya.”
Ms. Gatabaki mentions that she has prior experience working on government initiatives, having previously contributed to the Jubilee Government under the leadership of former President Uhuru Kenyatta.
“This is not the first time I have worked with government. President Uhuru Kenyatta presented me with the opportunity to serve as chairperson of the Presidential Digital Transformation of Government in 2014,” she said.
Apeiro and its consortium partners have already begun the process of carrying out the project, according to her statement.
