During the Akorino Annual Convention in Embu County, Mr. Kuria openly criticized the media house, demanding that it declare whether it is fulfilling its watchdog role or aligning itself with the opposition. He also cautioned government agencies against advertising with Nation Media Group (NMG), warning that their funding could be jeopardized and their employees could face job losses. Kuria announced his intention to clamp down on the media starting from June 18, 2023.
Kuria accused the Nation Media Group, owned by His Highness the Aga Khan, and which operates NTV, Daily Nation, Nation Africa, and Nation FM, among other stations, of blurring the line between being a newspaper, a broadcasting house, a media station, and an opposition party. He threatened to terminate the employment of any individual responsible for government agencies placing advertisements in NMG.
“Nation Media, I want you to decide if you are a broadcaster, print newspapers, or an opposition party. I have said from today that any government agency that will advertise in Nation Media will be penalized,” Kuria said.
Exposé by Nation Media
This confrontation by the CS followed a recent exposé by NMG, alleging that the ministries of Trade and Agriculture, under CS Mithika Linturi, had misappropriated over Ksh6 billion in an oil scandal. The investigative report revealed that the Kenya Revenue Authority (KRA) and National Treasury wrongly applied the law when approving the importation of oil. This misapplication of regulations contributed to the flawed system, allowing for tax-free importation and subsequent financial discrepancies.
The whole deal involved agreements with private companies importing oil without paying taxes, and subsequently selling it to a government agency at an inflated price. This process resulted in significant financial losses due to mismanagement.
As a result, a considerable amount of money was wasted during these transactions. The exact extent of the financial losses is yet to be determined, but the investigation shed light on the existence of systemic issues within the importation process.
The Media Owners Association, the Editors Guild, and the Media Council of Kenya (MCK) have yet to respond to Kuria’s attack on Nation Media Group.
Earlier, the leader of the Senate majority, Aaron Cheruiyot, also accused Nation Media Group of biased coverage in a scandal involving Gatanga MP Edward Muriu and Labour CS Florence Bore. Senator Cheruiyot claimed that the media ran the story without seeking CS Bore’s response. He urged the media to provide equal prominence to Bore’s clarification after she issued a statement regarding the alleged scandal.
Deputy President Rigathi Gachagua, on May 21, 2023, criticized the mainstream media for incessantly criticizing the government while neglecting its achievements. Gachagua urged the media to present a balanced perspective by highlighting both broken promises and fulfilled commitments.
Shift in the media operating environment
Nation Media Group made changes to its operations in response to shifting consumer habits and a decline in government advertising following the pandemic. The media house launched its digital brand, Nation.Africa, in 2020 and introduced a paywall to increase reader revenue while reducing reliance on advertising. In 2021, print accounted for 72% of the Group’s revenue, but digital revenue experienced a 20% increase after the revamped digital website was launched.
In 2023, the Group implemented further changes in its editorial leadership as part of its ongoing Newsroom Integration Project, aiming to operate its print and online platforms under a unified structure.
