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Home » News » Uproar as Ichungwah claims Raila owes Mumias Sugar Ksh 300 million

Uproar as Ichungwah claims Raila owes Mumias Sugar Ksh 300 million

Last updated: September 15, 2023 7:52 am
3 years ago
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Minority leader Opiyo Wandayi (L) and his majority counterpart Kimani Ichung'wah (R)
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Tensions flared in the Kenyan Parliament on Thursday, September 14, as leaders from the Kenya Kwanza and Azimio la Umoja coalitions clashed over allegations made by the Leader of the Majority, Kimani Ichung’wah against Azimio leader Raila Odinga.

Ichung’wah accused former Prime Minister Raila Odinga of failing to settle a Ksh300 million debt owed to Mumias Sugar Company during a debate on action plans to revive struggling state-owned sugar companies.

Ichung’wah’s claims were delivered during his submissions, where he argued that Raila should be compelled to settle his debt as part of the efforts to revitalize the ailing sugar sector.

“I know Raila Odinga also owes Mumias Sugar company more than Ksh300 million shillings,” stated Ichung’wah.

“I want to ask the Hon Nabulindo (MP, Matungu) to ask the party leader of ODM to pay up the money he owes to Mumias Sugar. This way the company can also benefit from commercialization.”

This accusation unsettled Ichung’wah’s minority counterpart, Opiyo Wandayi, who challenged the Kenya Kwanza-affiliated legislator to provide evidence supporting his allegations.

“It is not right for Honourable Ichung’wah to claim that the leader of ODM, and there is only one leader of ODM, owes Mumias Sugar Ksh300 million. Why would such an allegation be made on the floor of this house? Can he table evidence or withdraw and apologize,” Wandayi countered.

Government to write off Ksh117 billion owed by five government-owned companies.

However, the Kikuyu MP defended his claim, asserting that it was a matter of public concern.

“It is only right that if you are writing off debt owed to the public, even individuals and private companies that owe the sugar companies should and must pay up. Regarding the leader of ODM, it is in the public domain, including documents tabled in this house,” Ichung’wah insisted.

Mumias Sugar has long been burdened by a substantial debt, estimated at Ksh4.8 billion, which is a fraction of the Ksh90.4 billion owed by all state-run sugar millers.

In late August, the President authorized the write-off of Ksh117 billion owed by five government-owned companies.

President Ruto explained that this move was aimed at facilitating the recovery of the ailing companies, which had once been industry leaders. The write-off would also enable them to return to profitability.

Mumias Sugar Company was among the companies highlighted whose entire debt was to be cleared as part of this initiative.

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