Energy and Petroleum Regulatory Authority Director General Daniel Kiptoo, Kenya Pipeline Company Managing Director Joe Sang, and Petroleum Principal Secretary Mohamed Liban have resigned after arrests linked to a Ksh4 billion fuel scandal. Officials allegedly manipulated stock data to enable irregular procurement outside the government-to-government agreement. President William Ruto's office called the deal a blatant breach involving substandard fuel.
The Directorate of Criminal Investigations arrested EPRA Director General Daniel Kiptoo, KPC Managing Director Joe Sang, Petroleum Principal Secretary Mohamed Liban, and Petroleum Deputy Director Joseph Wafula on Thursday or Friday. They allegedly falsified in-country fuel stock data to prompt the Ministry of Energy and Petroleum to procure an emergency Ksh4 billion shipment irregularly. The purchase bypassed the G2G framework with Gulf countries, at inflated prices and with substandard fuel.
The consignment arrived on MV Paloma, diverted from Angola to Mombasa with over 60,000 metric tonnes from Saudi Aramco. It was offloaded between March 27 and 29, 2026, and flagged for high sulphur levels. DCI recovered over Ksh100 million in cash from the suspects' homes.
President Ruto's office, via a letter from Felix Koskei dated April 4, 2026, confirmed the resignations of Liban, Sang, and Kiptoo. It stated, “The shipment in question was procured in blatant breach of the G2G framework, at a price significantly above the contracted rates, in complete disregard of established emergency procurement procedures, and was of substandard quality.” KPC initiated disciplinary action against Wafula and Supply Manager Joel Mburu.
Kakamega Senator Boni Khalwale called for Energy CS Opiyo Wandayi's arrest or resignation over incompetence. Kiharu MP Ndindi Nyoro alleged hidden interests in the fuel supply chain. The government pledged thorough investigations and corrective measures.
