Parliament has summoned the top management of 17 state corporations that have failed to repay loans worth Sh84.3 billion guaranteed by the Treasury. The National Assembly’s Public Accounts Committee (PAC) said it will grill top managers of the parastatals which have continued to rely on the Treasury for bailouts. The committee is seeking to establish […]
Bank lending to parastatals has dropped to levels last seen four years ago on mounting defaults as the financial institutions move to cushion themselves from further losses in the State-owned enterprises (SOEs). Latest Central Bank of Kenya (CBK) data shows that banks’ net loan book to parastatals has fallen for three consecutive months to close […]
Auditor-General questions how the Government Investment and Public Enterprises Management department that oversights corporations has been playing its oversight role. Government’s ability to collect over Sh28 billion in loans advanced to various parastatals appears in doubt, with some loans outstanding for years. This is even as the government makes little effort in loan recovery with […]
Mumias sugarcane farmers protest at the Ekero area where were urging an investor who was in plans to revive Mumias sugar factory to continue with the plans but involve them as stakeholders. [Benjamin Sakwa, Standard] With the ongoing tussle over the leasing of assets of Mumias Sugar Company, the sugar industry is in the news […]
The government has suspended Bungoma’s Nzoia Sugar Company MD Wanjala Makokha for three months over corruption allegations. The suspension was announced by Lawrence Omuhaka, the CAS for Agriculture who revealed that the decision was arrived at by the state in a bid to restructure the company. Makokha has been replaced by Chrispinus Omondi who is […]
As of 2018, Mumias Sugar Company Limited had assets worth Sh15.7 billion while its liabilities were Sh30.1 billion. Selling all the assets of Mumias Sugar Company would not raise enough funds to settle the miller’s debts, the firm’s receiver-manager Ponangipalli Rao says. Mumias Sugar Company has been under receivership after its loss-making streak persisted. Rao […]
Auditor-General questions how the Government Investment and Public Enterprises Management department that oversights corporations has been playing its oversight role. Government’s ability to collect over Sh28 billion in loans advanced to various parastatals appears in doubt, with some loans outstanding for years. This is even as the government makes little effort in loan recovery with […]
West Kenya Sugar Company chairman Jaswant Rai (right) and CEO Tejveer Rai. FILE PHOTO | NMG The billionaire Rai family is among the eight high-profile investors eyeing a lease deal for the Sh15 billion assets of ailing Mumias Sugar Company, the miller’s receiver-manager has disclosed. The disclosure of Rai’s bid underlines months of the heated […]
Devki Group founder and CEO Narendra Raval. FILE PHOTO | NMG Steel billionaire Narendra Raval has withdrawn his bid in leasing ailing Mumias Sugar Company, dealing a blow to the revival of the miller that has not been in production for over two years. Mr Raval, who was planning to inject Sh5 billion to modernise […]
Western Kenya politicians have opposed a move by the Kenya Commercial Bank (KCB) to lease out debt-ridden Mumias Sugar Company. The leaders have protested that there was neither public participation nor were key players consulted before the lease was executed. The bank placed the miller under receivership after it defaulted on loans amounting to Sh500 […]
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