Nairobi — Senators have demanded an asset register of the New Kenya Cooperative Creameries (KCC) acquired from the Former KCC to unravel the truth regarding the payment of outstanding terminal benefits to farmers and Sacco dues.
The Senate Committee on Labor and Social Welfare has directed the management of New KCC to detail the assets acquired from the former KCC, those currently held and their status.
The lawmakers stated that the information will be integral to resolve issues raised by farmers thereby ending the decades-long dispute over compensation for the former employees of the creamery.
The committee's Vice-chair, George Mbugua (Nominated) pointed out the urgency of the details given the timelines to conclude considering the petition within the required timelines.
"Considering the timelines for concluding on petitions brought to the Senate, we need to be forward-thinking should we need to direct New KCC to sell off some assets to pay off the owings," Mbugua said.
Cooperative Cabinet Secretary Wycliffe Oparanya, Labour Cabinet Secretary Alfred Mutua and their National Treasury counterpart John Mbadi alongside Solicitor General have also been re-invited to shed light on the matter.
The Cabinet Secretaries risk summon after they failed to honor today's proceedings with lawmakers castigating their absence.
Nominated Senator Miraj Abdillah voiced her frustration saying it was unfortunate that government officials who are custodians to the information sought by petitioners have resorted to ignore the invitations.
"The petitioners travelled from far and wide to attend this meeting, only to be met with the absence of those from whom we seek answers. They should be surcharged to reimburse the petitioners who are searching for justice," Miraj argued.
West Pokot Senator Julius Murgor who chairs the committee directed the legal team of the petitioners to provide a comprehensive list of the former KCC employees he is representing to clarify the number of beneficiaries involved in this case.
He reiterated the committee's commitment to ensuring that justice is served and that the ex-employees receive their due SACCO deductions and terminal benefits.
"This committee stands for justice, and we will stand by the former employees to ensure they receive what they are rightfully owed," emphasized Senator Murgor.
This Petition presented to the Senate on 9th July, 2024 comes after years of legal wrangling over compensation for former KCC employees, who were dismissed in 1997 following the government's failure to settle payments with the creamery under the School Milk Programme.
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Despite a series of court rulings, including a High Court judgment that held New KCC liable for compensation, a subsequent appeal in 2020 overturned the decision, leaving the matter unresolved.
This is after it emerged the new milk processor is facing financial liquidity issues as various government ministries owe it Sh184.3 million.
Last week, Cooperatives Principal Secretary Patrick Kilemi listed the Ministry of Defence and Administration Police as the biggest debtors at Sh49.5 million and Sh32.4 million respectively.
Other significant debts include Sh14.62 million owed by State House, Sh10.53 million by Kenyatta National Hospital, and Sh6.79 million by the Presidency.
The Kenyatta National Hospital Private Wing and Moi Teaching and Referral Hospital owe Sh4.45 million and Sh4.04 million respectively.
Additionally, the National Security Intelligence Service, the Office of the First Lady, and Nairobi Water and Sewerage Company owe Sh4 million, Sh3.07 million, and Sh2.27 million, respectively.
Other government agencies owe Sh52.24 million.
