Nearly 100 Members of Parliament (MP) face the risk of having their luxury vehicles repossessed after the August poll, to help recover the loans they have accumulated over the period they had been in office.
The MPs, who are entitled to a Sh20 Million mortgage and a Sh7 Million car loan, are expected to clear their loans before their term ends.
"During the reported period (2015/16), the fund was able to fully process loans to 89 honourable members (approximately 22 percent ) for the 11th Parliament," former Clerk of the National Assembly Justin Bundi stated in a report tabled in Parliament last week.
Through its Car Loan Scheme Fund, the Parliamentary Service Commission (PSC) urged MPs to make additional payments from other sources instead of relying on deductions from their payslips.
“This will ensure early repayment and release of original logbooks to facilitate their discharge and transfer to the owners,” the fund stated in a report to the Auditor-General Edward Ouko.
The fund claimed loans advanced to both MPs and parliamentary staff were amounting to Sh213.1 Million.
“During the remaining parliamentary term, we expect to enhance recoveries for loan amounts outstanding for members to ensure full repayment before the expiry of the 11th Parliament. Members have been encouraged to make additional payments from other sources apart from monthly payslip recovery,” Mr Bundi noted.
