MPs to Summon Treasury, Governors Over Ksh251 Million Debt Crisis

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🇰🇪 Breaking It Down

During a meeting on Tuesday, July 7, KLB told the committee that delayed payments by government institutions had affected its financial capacity, as Members of Parliament questioned the debts that have remained unpaid for more than 90 days.

KLB Managing Director George Okeyo said that the bureau had exhausted available administrative channels but faced challenges pursuing fellow government agencies for payment.

“If we are allowed by the government to take drastic action against fellow government institutions, we would do so. We have used all the avenues available to KLB over the years, but we have failed to recover these debts,” Okeyo stated.

📌 What You Need to Know

He argued that KLB lacked sufficient legal backing to take stronger action against state institutions that had failed to settle their bills.

KLB Assistant Finance Manager Kenneth Adongo also blamed delayed payments by other government agencies and county governments, saying the cash flow challenges had made it difficult for KLB to pay suppliers and sustain operations.

Additionally, he identified the Kenya Institute of Curriculum Development (KICD) as one of the bureau’s biggest debtors , saying it owed KLB more than Ksh1.3 billion.

Adongo added that frequent curriculum changes have further complicated debt recovery efforts as booksellers are often left holding unsold textbooks worth millions.

A report by Auditor-General Nancy Gathungu’s showed the bureau had trade and other receivables amounting to Ksh1.05 billion, with Ksh251.5 million classified as long-outstanding debts, some dating back to 2015.

The committee rejected KLB’s proposal to write off a Ksh921,000 debt owed by Jomo Kenyatta University of Agriculture and Technology (JKUAT), insisting that all recovery options should first be pursued.

📰 Source: Kenyans.co.ke

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