Entry Instance

HTTP 200 OK
Allow: GET, PUT, PATCH, DELETE, HEAD, OPTIONS
Content-Type: application/json
Vary: Accept

{
    "id": 696799,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/696799/?format=api",
    "text_counter": 227,
    "type": "speech",
    "speaker_name": "Hon. Ichung’wah",
    "speaker_title": "",
    "speaker": {
        "id": 1835,
        "legal_name": "Anthony Kimani Ichung'Wah",
        "slug": "anthony-kimani-ichungwah"
    },
    "content": "The appointing authorities of the respective CEOs and boards of State corporations should fast-track the appointment processes to enable the corporations to run effectively. This should be in adherence to the Mwongozo Code of governance for State corporations. That touches on the appointment of boards and their chairmen. Our general recommendation is that the National Treasury should regularly publish and submit to Parliament an annual National Treasury memorandum on the status of the implementation of the recommendations from both the PIC and the PAC Reports and other relevant parliamentary committees showing the progress made. It should also ensure compliance by Government agencies to its circulars and take necessary action for non-compliance, particularly on regulations from the National Treasury. Many of these regulations are gazetted. I will give you an example of outright contravention of such regulations. There are regulations on financial investment of surplus funds that were issued way back in 1992 – as I mentioned I was only in Form Two – by the then Permanent Secretary in the Ministry of Finance, Mr. Koinange. The regulations were on how State corporations should invest surplus funds that they are holding. You will be shocked that two or three of the banks under receivership in this country, particularly Imperial Bank, Dubai Bank and Chase Bank have gone under with billions of taxpayers’ money in fixed deposits. This is the case and yet these are private banks I will give you an example of the Kenya Ports Authority (KPA) that had a deposit of Kshs3 billion. While our students in the villages cannot access loans to go to school, the Higher Education Loans Board (HELB) had the audacity to deposit almost Kshs300 million in Chase Bank. That money is withheld there and yet students are suffering and are unable to access college education. There are regulations, as I mentioned, that were put in place in 1992 to the effect that any State corporation or agency that has surplus funds should not invest in deposits in commercial banks, but should invest such funds in Government securities. This, again, is flouted with impunity by CEOs of State corporations. That is why we recommend that the National Treasury takes this matter seriously. Lastly, we have recommended that the representatives of parent ministries in State corporations should be held accountable for any mismanagement that needed their advice. Again, 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."
}