Home NEWS County News Private and public sector to pay heavily for withholding unclaimed assets

Private and public sector to pay heavily for withholding unclaimed assets

By Sally Namuye

Public and private institutions have been warned on heavy penalties if they fail to submit unclaimed assets in their possession to agencies on time.

Channel 1

This is after a survey showed that only assets worth Ksh50 billion from the estimated Ksh242 billion of assets being held by the Public and Private sector have been handed to the agencies.

Unclaimed Financial Assets Authority board chairperson, Francis Kigo Njenga said they will begin a crackdown on non-compliant companies in order to collect non-surrendered assets.

Kigo warned that after October 31, they will have no choice but get a court injunction to recover interest and penalties accrued on non –remitted assets in full.

He said they are collaborating with Huduma Kenya and National Government Administration Office (NGAO) to recover idle assets.

“The money, which includes assets worth Ksh27 billion in cash and Ksh30 billion worth of shares, if mainstreamed back to the economy can significantly help recover the struggling country’s economy by enabling the owners to start income-generating-activities,” said Kigo.

In order to ensure the claimants receive their money on time, the waiting time has been reduced from three months to ten working days. Kenyans will also be able to visit any Huduma Centre in the country for this.

“Huduma Center will partner with UFAA in order to continue devolving government services to Kenyans.”Said Benjamin Kai Chilumo ,Huduma Center CEO.

Currently the agency holds Ksh57 billion worth of unclaimed assets, both in cash and assets, however Kenyans remain disinterested in pursuing funds legally belonging to them or their families despite the tough economic times.

Unclaimed assets include money in bank accounts that have been dormant for more than five years, bankers’ cheques not cashed and contents in safe deposit boxes unclaimed for more than two years.

Website | + posts