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NBK warned over ignoring audit requests

Mercy Mwai @wangumarci

The National Assembly has written to the National Bank of Kenya (NBK) management demanding for an explanation as to  why it has failed to present itself for statutory audit by Office of the Auditor General.

Members of Parliament are also demanding for an explanation as to why the bank snubbed summons to appear before the Finance and National Planning Committee to shed light on its planned Sh5 billion takeover by KCB Group.

In a letter from the Office of the Clerk addressed to the bank’s managing director Wilfred Musau, the National Assembly demands that the financial institution explains why it has declined the numerous audit requests from the Auditor General Edward Ouko.

According to the letter copied to Ouko, National Treasury Principal Secretary Kamau Thugge and Acting Inspector General- Inspectorate of State Corporations Titus Muriithi, the National Assembly wants NBK to ensure that it presents itself for audit because a part of its shareholding is owned by the government and National Social Security Fund (NSSF) which are public entities.

“The government of Kenya and NSSF is a joint shareholder in the bank with more than 50 per cent stake. The committee has since learnt that efforts by the Auditor General to audit NBK have been futile,” the letter signed by Senior Deputy Clerk Jeremiah Ndombi reads in part.

Public institutions

The letter came on the day Office of the Clerk directed NBK management to appear before Public Investments Committee (PIC) chaired by Mvita MP Abdulswamad Shariff and which audits public institutions.

Top officials of the bank have been instructed to appear before PIC on June 11.

Ndombi said three days before making appearances, the bank should avail to the Office of the Clerk, 25 hard copies and a soft copy of responses. In addition, the bank should also submit similar responses to the Office of Auditor General.

 

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