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{
    "id": 1404416,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1404416/?format=api",
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    "content": "Hon. Speaker, upon the request by Hon. Lisa Chelule, Member of Parliament for Nakuru County, we sought a response from the Cabinet Secretary for Finance and National Planning as a Committee. Their response is as follows: The Pyrethrum Processing Company of Kenya (PPCK) was incorporated on 8th November 1963 as a limited company. It is a subsidiary company of the Pyrethrum Board of Kenya with Pyrethrum Board of Kenya having almost 100 per cent shareholding. According to the State Corporations Act, CAP 446, the PPCK, being a subsidiary of a State Corporation, is by law a State Corporation. Upon the commencement of the Agriculture and Food Authority Act of 2013, PPCK assumed the commercial functions of the Pyrethrum Board of Kenya. The Agriculture and Food Authority (AFA) became a regulator of the pyrethrum industry by creating a directorate. These reforms in the pyrethrum industry resulted in liberalisation, attracting new players at various levels of the value chain. This resulted in AFA licensing four pyrethrum processers, including PPCK and other pyrethrum processing companies which are privately owned. The Pyrethrum Board of Kenya Staff Superannuation Scheme was established on 1st January 1991. It was constituted as defined benefit scheme. Under the scheme, employees contributed five per cent and the employer, 15 per cent. The Pyrethrum Board of Kenya, the employer, started failing to remit pension contributions around 2003 to the Scheme Administrator, Barclays Bank. The PPCK business performance resulted in losses persistently since 1997. The company, for a long time, failed to remit staff statutory and other employee voluntary contributions to relevant authorities and institutions. Following several reminders by the Retirement Benefits Authority for Pyrethrum Board of Kenya to surrender non-core assets to the scheme to avoid members missing their monthly pension, RBA lodged Petition No.24/2012 at Milimani Commercial Court to wind up the scheme. On 1st December 2016, the court directed the scheme to be wound up, and sponsors' assets be liquidated to generate funds to pay the pensioners. Subsequently, in adherence to an Order of the High Court, the scheme was liquidated on 26th May 2017 and the official receiver was appointed. The official receiver, as a liquidator, had explored various avenues to secure funding of the pension scheme in order to settle the debt owing to PPCK pensioners and other beneficiaries. One of the avenues available to the receiver was the disposal of non-core assets of PPCK. To date, more than 70 out of 444 pensioners have passed on without receiving their dues. A Cabinet Memorandum on the transfer of the non-core assets of the Pyrethrum PPCK to the scheme was submitted to the NDITC in May 2021. However, a decision is yet to be The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor"
}