It is however unlikely that the works done so far would be worth anything close to the Sh4 billion paid out. Catic, whose Vice President Hongyou Huang, is facing unrelated tax evasion charges, is claiming Sh4 billion from the State. “They cannot claim anything from us...We got legal advice indicating that, indeed, the contracts were null and void,” said Mr Macharia. Another terminalThe Government had already paid the Chinese contractor an initial Sh4 billion for levelling the ground before Macharia stopped the project in March after he joined the Ministry. Termination of contracts often attracts huge penalties paid by the party that has opted out, in this case the Government of Kenya.

Source: Standard Digital July 08, 2016 21:11 UTC