MPs summon Kenya Railways boss over retirees' dues

The Parliamentary Public Accounts Committee has summoned Kenya Railways Corporation (KRC) managing director Philip Mainga over the 19-year delay in payment of Sh21.9 million owed to retirees.

The committee also directed that the State Department of Transport Principal Secretary Mohammed Daghar appear before the House team to answer to the query in light of revelations that a total of 270 employees have not been paid since 2006.  

According to the Auditor General’s report on the Accounts of the National Government for the Financial Year 2023/2023, an amount of 21,950,404 in respect of unclaimed Kenya Railways retirees’ benefits has been lying in the State Department of Transport’s account at the Central Bank of Kenya for several years. It also indicates that the amount was not supported by a comprehensive list of the retirees and or beneficiaries showing amounts due to them.

“Further the State department did not explain reasons why the role of paying Kenya Railway retirees was transferred to them,” reads the report in part.

And appearing before the PAC committee yesterday, PS Daghar was taken to task by the Butere MP Tindi Mwale-led committee over the delay, which further expressed concern that the delay had led the retirees into depression with some even dying while waiting for the funds.

Aldai MP Maryanne Keitany sought to understand the inaction by the State Department for 19 years.

“What has the money been doing in the account for all these years? Was it kept there to accrue an interest and once it is paid to the retirees will they be paid with interest? It is very painful for the retirees to not get their monies despite having worked for it for years. They have been in the streets protesting and some have died waiting on the payments,” stated Keitany.