Just a question Dear Kenyan’s, what is the role of the Board of Directors at the institution such as NYS, Cereal Board and all other organisation suffocated by corruption. Part of their duties is to scrutinise the finances and provide overall oversight.
Why is it none of them are summoned to account for failures in organisation which they hold the highest office and hence highest responsibility. That level of corruption implies serious dereliction of duty.
Are they fit for purpose or do they require a complete overhaul?
In almost every board there is always one or two people who makes all decisions, mostly has backing of powerful gvt individuals…rest of members just make up numbers…and it’s even worse if treasury sends a pushover as a rep in a crucial board.
NYS should be devolved. Meru style. The national one is too ‘small’ to fit the all the youth in the nation anyway hadi kuingia huko inakaanga dream yet its supposed to be a phase kids go through after highschool. Tumechoka na hawa watoi kupost picha zao wakiwa na maskio ya paka IG and all where else I sei
I can guarantee you that some of these boards have members who cannot read a financial statement. Kuna commission fulani nilishangaa how some people get the positions. Na saa hizo academic credentials kibao.
Parastatals and most government agencies one will find that it’s easy for Boards of directors to get away with malfeasance since they are primarily political appointees and of note is that stakeholders are unable to exercise their right of holding them accountable.
Key to note is that the parastatals, most that is rely more on bail outs and grants from government and to get these funds the board has to play ball
Appointments to such boards are usually political rewards, they are not there most of the time due to competence but for their sitting allowances, stipends and for opportunities to influence tenders that indirectly benefit them. When board members can become criminally liable for acts committed within the institution, many Kenyans will be quick to turn down such appointments.
For some history:
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Those boards are just paper tigers. I can attest to that. My dad was an still is in a few. You do absolutely nothing but draw a hefty paycheck. And get political bragging rights. They are also paid per diem every time every time they meet I believe. And you use your appointment to a board to get an appointment to get the next one. You need a political connection to vouch for you to land an appointment. They do absolutely nothing in their meetings but talk.
[SIZE=4]As a country we need to get smarter, compulsory vigorous vetting on all sitting and upcoming directors, irrespective of how they get into post.
It is impossible to understand how millions or billions of funds leave an organisations account without senior management or CEO reporting to the Board of Directors, or the where Directors have no say in the strategic allocation and deployment of such large sums of money.[/SIZE]
[SIZE=4]Perhaps establishment of a body such as a National Council or Association of Directors might help, which facilitates training and support to directors, provides a reporting avenue of misconduct by civil service personnel over allocated funds.[/SIZE]
[SIZE=4]Board of Directors and all members must held liable for mismanagement of institutions under their stewardship. If you run your ship aground you get court martialled. They must disobey orders from outside powers, if it threatens the stability of institutions.[/SIZE]
Yes, we have a long way to go, credible change will only come from the appointing authority. If they do not crack the whip and show that they mean serious business, then they too are complicit. The next few weeks will tell if concrete action will be taken through reforms or if the vice is here to stay.
I worked as a personal assistant to Director of one the Parastaal,I can attest that those guys literally do nothing rather than Shagging one another.Those guys sacked the MD for misappropriation of funds,Then the CS sacked them, they went to Court after a few months the President revoked the appointments and those guys were scattered to other “poor” parastaals.
I know of some board members in a parastatal who were appointed from retirement. Since these guys are idle, they keep coming to the offices inspite of there being no board meeting. They get tea, lunch and newspapers and smoke cigarettes all day as they occupy the executive board room. only the chairman of the board has an office. They are useless in every sense of the way.
on other matters i thought around 2011 the law was clear on individual responsibilities on board members they were to take individual liability on any decision they made in their capacity in the board. never seen any board member charged.