Kenya Broadcasting Corporation (KBC) top managers have been placed on the spot by the Directorate of Criminal Investigation (DCI) for abuse of office and misappropriation of funds.
Among those implicated include the Managing Director Waithaka Waihenya and his deputy Paul Jilani, Finance Manager Mr Momanyi, Mrs P. Mogaka and Daniel Okoth.
In the last financial year, KBC lost Ksh7 billion in what managers termed as spending more that the broadcaster earned.
Speaking to the Senate Committee for Information, Communication and Technology (ICT) in July, Mr Samuel Otieno – who represented the managing director – revealed that the company was spending double of what it earned in the last financial year.
Despite earning Ksh90 million a month, the corporation has been spending Ksh180 million monthly on recurrent expenditure.
It was further revealed that the state broadcaster had not paid Ksh127 million for satellite operations.
KBC has also defaulted Ksh205 million tax remission to the Kenya Revenue Authority (KRA) despite effecting deductions on employees’ salaries.
The Committee also learnt that employee deductions had not been remitted to their respective Savings and Credits Cooperative Organizations (Saccos).
Early this year, the management of the state broadcaster was put on notice by the Information and Communication Technology Cabinet Secretary Joe Mucheru, saying he is not pleased with the manner the state broadcaster is being managed.
KBC has a history of financial troubles resulting from a massive debt, which stood at Ksh 45 billion at 30th, June 2015 with Auditor General Edward Ouko declaring it technically insolvent. However, mismanagement is also said to have sunk the public broadcaster deeper into negative territory.
At one point, there was a proposal to split the broadcaster into two entities, one catering for its commercial interests and the other its role as a public broadcaster. This was meant to make it more competitive and ensure its relevance.
According to the plan, KBC’s FM radio stations such as Coro, Pwani and Metro FM were to be transferred to the commercial unit with only KBC English Service and KBC Radio Taifa remaining as public service stations.
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