By KPC Reporter
Former Kenya Film Classification Board (KFCB) Chief Executive Officer Ezekiel Mutua to refund Sh27.6 million, paid to him as a salary increment that was deemed irregular.
The State Corporations Appeal Tribunal upheld a surcharge issued by the Inspectorate of State Corporations, which had found that Mutua’s salary was improperly increased from Sh348,840 to Sh1,115,850 during his second term as CEO, a move not approved by relevant authorities.
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According to the ruling, the increment was effected without proper consultation with the Salaries and Remuneration Commission (SRC), the State Corporations Advisory Committee (SCAC), or the Cabinet Secretary for Sports and Heritage.
The decision to increase the salary was described as unlawful and lacking procedural integrity.
Mutua served his first term between 26 October 2015 and 21 October 2018.
Although the Cabinet Secretary declined to renew his contract in a letter dated 29 May 2018, the KFCB board proceeded to extend his tenure for a further three years, effective 26 October 2018.
Following the renewal, the board’s Human Resource and Administration Committee recommended a salary increase based on performance, which was approved in a meeting held on 31 January 2019, despite divergent views within the subcommittee.
Attempts to seek Cabinet approval for the increment were declined via a letter dated 30 April 2019, with instructions to halt implementation and recover any overpaid amounts.
The tribunal found that these directives were not followed, prompting the surcharge under Section 19 of the State Corporations Act.
Mutua challenged the surcharge but the tribunal chaired by James Warui dismissed the appeal.
In his defense, Mutua argued that he was appointed and remunerated by the board, without objection from the appointing authority, and believed the process to be legitimate.
Also surcharged was Nehemiah Kipkoech, a KFCB board member involved in approving the increment.
The tribunal said that the board’s actions were unprocedural, rendering the salary increase null and void.
