By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
Newsunplug KenyaNewsunplug KenyaNewsunplug Kenya
  • News
    • Metro
    • Politics
    • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
Reading: Suppliers take Sh1bn hit as Laikipia rejects claims
Share
Notification Show More
Font ResizerAa
Newsunplug KenyaNewsunplug Kenya
Font ResizerAa
  • News
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
  • News
    • Metro
    • Politics
    • Business
  • Entertainment
  • Lifestyle
  • Sports
  • Tech
  • Spotify
Have an existing account? Sign In
Follow US
© 2022 Foxiz News Network. Ruby Design Company. All Rights Reserved.
Newsunplug Kenya > Blog > News > Suppliers take Sh1bn hit as Laikipia rejects claims
News

Suppliers take Sh1bn hit as Laikipia rejects claims

hallanaija
Last updated: June 15, 2023 10:00 am
hallanaija
2 years ago
Share
Laikipia
Laikipia Governor Joshua Wakahora Irungu before the County Public Accounts Committee at KICC, Nairobi County on June 13, 2023. PHOTO | DENNIS ONSONGO | NMG
SHARE

Contractors and suppliers who did business with the Laikipia county government are staring at Sh1 billion loss after the current administration rejected claims inherited from the previous one.

The development comes after governor Joshua Irungu-led administration said only Sh1.2 billion out of the Sh2.2 billion inherited from the previous regime would be honoured.

Auditor-General Nancy Gathungu’s report for the financial year ended June 2020 revealed that the county government had pending bills dating back as far as the financial year ended June 2016.

Appearing before the Senate County Public Accounts Committee on Wednesday, Mr Irungu said after assuming office last year, he established a county pending bills committee, which flagged Sh1 billion pending bills as ineligible.

He said an earlier audit by the Auditor-General put the eligible pending bills at Sh822 million.

“I inherited a pending bills debt worth Sh2.2 billion from the previous government but a report of the committee only found Sh1.2 billion as eligible to be paid. I will only pay those,” said Mr Irungu.

He said when he left office in 2017, the pending bills were less than Sh400 million but that has since ballooned to Sh2.2 billion in only five years.

READ MORE  Kenya ranks top adventure holiday destination in Africa
Laikipia
Laikipia Governor Joshua Wakahora Irungu before the County Public Accounts Committee at KICC, Nairobi County on June 13, 2023. PHOTO | DENNIS ONSONGO | NMG

Consequently, he said, it would be difficult for him to pay for work that does not have proper documentation or is incomplete.

“I am ready to pay the eligible pending bills but the other ones will have to wait as their documentation must be verified before any payment is done,” he said.

The governor observed that apart from incomplete documentation; delays in the completion of projects, failure by county governments to meet their source revenue targets and delays by the National Treasury to release the exchequer are fueling pending bills problems in counties.

The committee’s chairperson Senator Moses Kajwang’, however, said a contractor or supplier should not suffer because of mishandling of paperwork by officers.

He said most of the time, the contractors or suppliers have no problems in cases of ineligible pending bills.

“Contractors cannot do it alone. It is a long chain to have ineligible pending bills of Sh1 billion. Let no one suffer because of a change of administration,” he said.

“It is not enough to just say it is ineligible but tell us the measures taken to bring this problem to an end.”

READ MORE  Kenya takes part in Vienna nuclear safety talks

Mr Kajwang’ said the law states that pending bills should be the first charge in any budget and it is time counties stop the circus surrounding the payment of pending bills.

Read: Laikipia county plans to float Sh1.2b year bond at 1.2%

“This pending bills issue has more than meets the eye. Some do business today and are paid tomorrow but for others, they have to part with something small to get paid,” said Tharaka Nithi Senator Mwenda Gataya.

Koskei: We’re in the right direction in economic recovery
DP Gachagua Urges Artists To Promote Good Cultural Practices, Traditions
DP Gachagua laments being removed from President Ruto’s WhatsApp group
Uganda Adds Juba To Its e-cargo Tracking Set
Salvation Army Church Members Raid Land In Bid To Claim Ownership
Share This Article
Facebook Email Print
Previous Article Cytonn Cytonn woes deepen as receiver eyes assets
Next Article Macron French President Macron To ‘Try To Push’ For Mbappe To Stay At PSG
Leave a Comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

about us

We influence 20 million users and is the number one business and technology news network on the planet.

Recent Posts

  • US sanctions on Sudan over alleged chemical weapons use take effect
  • President Ruto set to depart for official visits to Spain and UK
  • AK-47 rifle stolen during June 25 protests recovered in Kabete
  • Liverpool Reaches Agreement with Napoli for Victor Osimhen Transfer
  • 🚨 BREAKING: England U21 Crowned European Champions After Thrilling Tournament Run

Recent Comments

No comments to show.
Newsunplug KenyaNewsunplug Kenya
© Newsunplug Kenya. All Rights Reserved.
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?