DCI Investigating KBC Over Misappropriation of Funds

The Directorate of Criminal Investigations (DCI) has started investigating Kenya Broadcasting Corporation (KBC) over alleged misappropriation of funds.

Detectives are also probing the continued abuse of office by the broadcaster's staff.

The DCI is seeking to uncover how KBC sank into a financial mess that it was declared technically insolvent by the Auditor-General in 2016.

[caption caption="DCI Boss George Kinoti"][/caption]

“This office is investigating a reported case of abuse of office and misappropriation of funds at the Kenya Broadcasting Corporation,” reads a letter dated July 20 by Samuel Ngeywa, an officer from the DCI.

Ngeywa is enquiring why the broadcaster cannot dispatch employees’ statutory deductions to the Kenya Revenue Authority (KRA), the national pension fund, co-operative unions, healthcare and insurance.

The officer directed KBC’s management to submit documents regarding employee contributions to eight SACCOs namely Ardhi, Sauti, Mtangazaji, Harambee, Shirika, Ukulima, Magereza and Hazina.

The detective requested the payroll and employees' payslips over the past two years as from July 1, 2016, to June 30, 2018, for investigation.

KBC Acting Managing Director Paul Jilani remarked that the financial shortage is not a unique issue.

“We face the same cash flow problems many other parastatals are facing. But we need to modernize our systems if we are to get out of this rut,” he mentioned.

Senate Committee on Information Communication Technology is also investigating the issue that has seen KBC owe more than Sh2.1 billion in unremitted deductions alone as of last month.

Recently KBC asked for Ksh 1.9billion from the government to carry out limited restructuring by April next year.

However, according to the Daily Nation, a complete makeover of the media station will cost about Sh7 billion.

[caption caption="Former KBC managing director Waihenya Waithaka with Interior CS Fred Matiangi"][/caption]

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