THE Kenya Ports Authority has denied reports that it overstated it assets by Sh60 billion as alleged by a section of the media. "The Sh60 billion is the total value of one class of assets namely plant, property and equipment", KPA managing director Gichiri Ndua said in a press statement published in dailies on Friday. "The parcels of land have a total value of Sh1 billion," Gichira added.
KPA said the false allegation came from media's false interpretation of Auditor General report dated April 23, 2013. "The Auditor General report made available to us does not contain such a statement", Gichiri said. "The Auditor General has questioned ownership of plots which are still registered in the name of the defunct East African Railways and Harbors Corporation."
The Auditor General report said that the net asset were Sh63.3 billion. KPA argued that if there was an overstatement of Sh60 billion, this means that only Sh3.3 of assets generated a dividend of Sh777 million to the government and a profit before tax of Sh8.5 billion.This is impossible, KPA says. KPA said the Sh571 million debts the media alluded to have been absent in the statement are subject to court cases.