Silence as Madoka post flouts State code

The government appears to have reneged on its own Code of Governance for State Corporations (Mwongozo) even as it cracks down on container freight stations (CFSs) claimed to be dealing in contraband goods.

This is in regard to former cabinet minister Major (rtd) Marsden Madoka chairing the boards of directors of State corporations at the centre of the crackdown — the Kenya Revenue Authority (KRA) and the Kenya Ports Authority (KPA).

The Mwongozo Code issued jointly by the Public Service Commission (PSC) and the State Corporations Advisory Committee (SCAC) in January 2015, at clause 1.6 on page 22, prohibits multiple directorships in State corporations.

“A board member shall not hold such position in more than two SCs (State corporations) at any one time to ensure effective participation in the board. A chairperson of a SC shall not hold such position in any other SC concurrently, in order to allow them devote sufficient time to steering the board,” the Mwongozo code states.

Major (rtd) Madoka was appointed by President Uhuru Kenyatta to chair the KPA board for three years, with effect from April 17, 2015, replacing former assistant minister Danson Mungatana who served just for a year.

The appointment of Major (rtd) Madoka came about three months after the Code of Governance was issued, with President Kenyatta pledging his administration’s commitment “to full implementation of all the provisions.”

In addition, the former Mwatate MP is chairman of KRA, having been first appointed on March 15, 2010 in place of Mr Leonard Mwangola whose term expired.

TOUGH QUESTIONS

The multiple directorships of Major (rtd) Madoka had also been queried by the secretary-general of Consumer Federation of Kenya (Cofek) Stephen Mutoro, who on February 9 wrote to Head of Public Service Joseph Kinyua bringing to his attention the conflict of interest that exists with the arrangement.

“Needless to mention, KPA is a significant revenue generation institution to the country. At the same time, KRA naturally oversights KPA on efficiency and enhancement of revenue generation. Besides, the two positions are most demanding in terms of time and leadership. Again, there is no shortage of skilled manpower. The “Mwongozo” guide is against the same,” Mr Mutoro said in the letter which has not received a response to date.

“I wasn’t expecting them to respond, anyway,” said Mr Mutoro.

The letter was also copied to National Treasury Cabinet Secretary Henry Rotich, his transport counterpart James Macharia and Attorney General Githu Muigai.

“You cannot spend taxpayers’ money in a policy which then you renege on its implementation,” the Cofek boss added.

When reached for comment on Friday, KRA senior communications officer Maurine Njong’o asked Sunday Nation to “call the office on Monday since it is after 5pm. I am currently away.”

On the other hand, Mr Rotich said that it should not be a going concern as “it will be fixed soon”.

“As you know, the appointment of chairmen of State corporations is not done by cabinet secretaries but by the President. But that they are chaired by the same person should not be a public concern,” said Mr Rotich.

Prof Muigai, meanwhile, did not respond while State House referred the matter to KRA and President Kenyatta’s legal adviser, Mr Abdikadir Mohammed, who also did not respond. 

POLITICAL SCORES

The Mwongozo Code was launched last year to engineer parastatal reforms and improve their governance.

“This Code of Governance is anchored on the Constitution of Kenya, 2010. Article 10 of the Constitution entrenches national values and principles of governance while Article 73 places emphasis on public trust, honour and dignity of public offices.

Personal integrity, and values and principles of public service, are reinforced in Article 232, which also provides for efficiency, effectiveness and economic use of resources.

The code takes into consideration Chapter Six of the Constitution on Leadership and Integrity as well as the Public Officers and Ethics Act, 2003,” the 76-page policy developed by the Presidential Task Force on Parastatal Reforms reads in its introduction.

The two State corporations have been cracking down on CFSs accused of tax evasion and dealing in contraband goods.

As part of the crackdown, two CFSs owned by Mombasa Governor Hassan Joho’s family have been shut down in a move that has taken a political angle.

The CFSs are Autoport and Portside. 

The Joho family have accused the Jubilee administration of using KRA and KPA to settle political scores with the governor, who is also opposition ODM’s deputy party leader.