The Central Organization of Trade Unions (COTU) has commended President William Ruto's decision to cancel deals with the Adani Group, describing it as a bold, timely, and decisive action.
In a statement on Friday, COTU Secretary-General Francis Atwoli praised the move as a clear demonstration of the Kenya Kwanza government's commitment to rooting out questionable agreements and prosecuting corruption cases effectively.
"This Presidential proclamation, issued during the State of the Nation Address in Parliament, has restored workers' confidence across all sectors, particularly those represented by the Kenya Aviation Workers Union (KAWU) under the Kenya Airports Authority," Atwoli said.
Atwoli emphasized that the cancellation of the Adani deals serves as a reminder to all government agencies to ensure the proper inclusion of workers in any strategic reforms.
He reaffirmed COTU's commitment to fostering social dialogue among the tripartite partners.
President Ruto announced on Thursday the cancellation of infrastructure and energy agreements involving Indian billionaire Gautam Adani, citing criminal charges in the United States and new information from investigative agencies.
In his address, Ruto directed the Ministry of Transport and the Ministry of Energy and Petroleum to terminate the Public-Private Partnership (PPP) projects for the expansion of Jomo Kenyatta International Airport (JKIA) and Kenya Electricity Transmission Company Limited (KETRACO).
The move followed charges by the US Department of Justice against Adani and his nephew, Sagar Adani, alleging a bribery scheme involving over USD250 million in payments to Indian government officials to secure solar energy contracts.
"I now direct, in furtherance of the principles enshrined in Article 10 of the Constitution on transparency and accountability, and based on new information provided by investigative agencies and partner nations, that the procuring agencies cancel the ongoing procurement process for the JKIA expansion," Ruto stated.
The announcement came after Energy and Petroleum Cabinet Secretary Opiyo Wandayi defended the deals, claiming that due diligence had been conducted prior to their signing.
Wandayi, appearing before the Parliamentary Energy Committee on Thursday, said the government had undertaken a two-phase review process where Adani demonstrated technical, legal, and financial capacity to execute electricity transmission projects.
The Department of Justice revealed that Adani's fraudulent scheme targeted American investors, enabling his company, Adani Green Energy Ltd., to raise USD175 million under false pretenses.
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The Securities and Exchange Commission (SEC) has also filed parallel charges against Adani executives and Cyril Cabanes of Azure Power Global.
Adani has faced prior controversies, including a January 2023 report by U.S.-based Hindenburg Research accusing him of "brazen stock manipulation and accounting fraud."
The report led to an USD80 billion loss in Adani's net worth, though his fortune has since rebounded to USD85.5 billion, according to the Bloomberg Billionaires Index.
Adani, often seen as a close ally of Indian Prime Minister Narendra Modi, has denied all allegations, dismissing the Hindenburg report as "nothing but a lie."
