NGO Coordination Board Deregisters Kenya Human Rights Commission (KHRC)

The NGOs Coordination Board on Monday deregistered the Kenya Human Rights Commission (KHRC) associated with Prof Makau Mutua for alleged tax evasion, operating illegal bank accounts and illegal hiring of expatriates.

In a letter to KHRC, NGO coordination Board Executive Director Fazul Mahamed noted that the organisation was operating four illegal bank accounts; two at NIC bank and two others at the CBA bank contrary to the terms and conditions of its registration.

“Your organisation has failed, declined or refused to pay statutory taxes to the Kenya Revenue Authority (KRA) amounting to Sh100 Million as provided for under Schedule 10 of the Income Tax Act,” Mahamed's letter read in part.

The Coordination Board further claimed that Mutua's organisation was employing expatriates without valid work permits and making false declarations on its annual returns failing to disclose any benefits or remuneration offered to its board members.

“Kenya Human Rights Commission financial statements do not give a true and fair view of their financial position as of 4th October 2016 and subsequently it cannot be ascertained that the Sh1.2 billion received by the organisation during the same period is fully accounted for and whether the finances were utilised for the intended purpose in accordance with the Constitution of the Commission, Financial Reporting Guidelines and the requirements of the NGOs Coordination Act 1990,” the CEO stated.

The board called on the Central Bank Governor Dr Patrick Njoroge to immediately preserve all funds held under the commission’s name and asked the Kenya Revenue Authority to initiate the process of recovering all accrued taxes.

Prof Mutua, however, noted that Fazul had no legal authority to deregister the NGO, adding that the High Court had declined such false charges in 2016 and ordered the Board to cease and desist from attempts to deregister KHRC.

KHRC Executive Director George Kegoro, while speaking to the Nation, stated that he had not received any letter from the Board, and accused Fazul's team of launching an attack on them because of their recent stands on issues of gender equality, extrajudicial killings, arbitrary arrests and detention, democracy, human dignity and social justice.

“We have on several occasions actually asked the Board’s board to meet us and discuss whatever issues they may have, but they always come up with excuses,” he said.

KHRC is a human rights body and was registered in 1994. 

It was founded by Prof Mutua, Mr Maina Kiai, Dr Willy Mutunga, Mr Kiraitu Murungi and Prof Peter Kareithi.

Its deregistration comes days after Mr Mahamed deregistered Rosemary Odinga's organization and the Kalonzo Musyoka Foundation.

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