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‘It would create room for corrupt practices’ LSK protests Bill to nationalise Kenya Airways

The Law Society of Kenya has protested the Bill that seeks to nationalise Kenya Airways.

According to Nation Africa, the Bill proposes the transformation of KQ into a public entity. This will see it merge with the Kenya Airports Authority.

However, LSK claimed that the move was a ploy to make huge payouts from the public coffers.

LSK stated that the Bill also had offensive provisions, such as one that empowered the CS to exclude ‘a state organ or public entity from three laws intended to enforce governance’. This, they said, laid the groundworks for corrupt practices.

Call to National Assembly

In their protest, LSK called for the immediate withdrawal of the National Aviation Management Bill (2020). They call on members of the National Assembly to reject it.

They especially said that there were sinister motives in the manner in which the Bill was being rushed. LSK said that the five-day notice was short for the public to present their views to the National Assembly. They also alleged to have received less than 12-hour notice through a ‘personal account’ late in the evening.

Settle debts with public funds

The Transport Committee of the National Assembly, LSK alleges, denied it and other stakeholders a reasonable opportunity to appear before it with a memorandum.

“The proposed nationalisation and merger and the consequential change of ownership will, in effect, obligate the immediate settlement of all existing debts and liabilities of KQ and KAA, leading to huge payouts from public funds,” LSK, through President, Nelson Havi, said.

“The proposed merger is not only against best management practices based on global trends but also denies KAA a chance to enter into similar concession agreements with better placed independent companies, which would inject much-needed capital to the authority without recourse to public funds.” The statement says further.

KQ has been struggling, with the carrier making losses for years on ends.

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