AUDITOR GENERAL; POSTA KENYA ON THE SPOT OVER KSH1.8B EMPLOYEES KRA DUES

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A report by Auditor General Nancy Gathungu revealed that the financially troubled Postal Corporation of Kenya (PCK) failed to remit employee and taxman dues amounting to Sh1.8 despite disposing of property to raise funds.

The report submitted to Parliament shows that Posta is struggling to honour payroll taxes and retirement benefits further underlining the deepening cash flow crisis.

It is not the first time Auditor-General Nancy Gathungu has questioned the failure to remit the money to the Treasury. This is contrary to Section 19 (4) of Employment Act, 2007 which requires an employer who deducts an amount from an employee’s remuneration to pay the amount so deducted in accordance with the time period and other requirements specified in the law.

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