Kenya. Cash-strapped KBC fails to remit Sh984m in pension
Cash-strapped Kenya Broadcasting Corporation (KBC) has failed to remit employee retirement benefits amounting to Sh984.3 million, underlining the deepening cash flow crisis facing the State broadcaster and signaling economic pain for its employees.
The institution is struggling to honour the dues, according to a report for the year ended June 2020 submitted to lawmakers by Auditor General Nancy Gathungu.
“Management attributed the delay to remit the deduction to its inability to settle its obligations as and when they fall due,” reads the report.
“The corporation is exposed to the risk of incurring penalties and interest with the continued delay in remittance of the deductions.”
Remittance of statutory, loan, and members’ deductions to Saccos and banks are mandatory employer obligations.
Ms Gathungu said in the report KBC had equally not remitted other unspecified statutory deductions amounting to Sh464.6 million, cooperative liabilities of Sh28.3 million and Kenya Revenue Authority (KRA) dues of Sh712.3 million.
Read more @Business Daily
266 views
