- The firm appealed to the joint committee to recommend reverting the firm to a privately-owned company.
- The firm said approximately 2,000 employees and their families depend on it for their livelihood.
Image: EZEKIEL AMING'A
Telkom Kenya bosses have strongly pitched to MPs to have the firm reverted to the private sector even as Parliament continues with a probe into its buyout.
The firm's management told lawmakers on Wednesday that the ongoing inquiry into its Sh6.09 billion purchase by the government is painting the firm in speculative light.
“It is our considered view that concluding the share transfer in a manner that retains Telkom Kenya as a private company is the best outcome for all our stakeholders,” Telkom Kenya said.
The firm told MPs that employees, customers, partners and financial institutions and potential investors are seeking clarifications about its future.
“However, Telkom Kenya has a solid and sustainable growth strategy going forward,” the firm said.
The firm's position is contained in its submissions to a joint sitting of the Departmental Committees on Finance and National Planning, and Communication Information and Innovation.
The National Assembly launched an inquiry into the government's Sh6.09 billion withdrawn to buy out private equity firm Helios from Telkom Kenya.
The transaction happened a few days to the August 9, 2022 General Election.
The investigation seeks to establish if the law was followed in the withdrawal of the money under Article 223 of the Constitution.
In its submissions, Telkom Kenya said its ability to attract the right private investor is based largely on its strategy rather that the current performance.
“It is instructive therefore that securing a new investor will lead to the inflow of much needed funds into Telkom Kenya and the country in general,” it said.
The firm said approximately 2,000 employees and their families depend on it for their livelihood.
“There are hundreds of others that also serve our customers through an extended ecosystem for close to a thousand active channels in the retail trade, enhancing accessibility of our services to our three million customers. These are the people, who every day show up at their workstations, ensuring that Telkom Kenya keeps its customers on the move,” the firm added.
The National Treasury withdrew Sh6.09 billion on August 5, 2022, and paid Jamhuri Holdings Limited, a Mauritius-based subsidiary of Helios.
On February 14, 2023, Controller of Budget Margaret Nyakangó told legislators the National Treasury overruled her in the transaction.
The CoB must approve the withdrawal of cash from the government’s main accounts and has powers to block access to funds suspected to breach the law.
Nyakan’go said refused to authorise the withdrawal of the billions to buy out Helios Investment Partners in Telkom Kenya in a deal that made the company fully state-owned.
On April 5, 2023, however, former National Treasury PS Julius Muia told MPs the deal was lawful.
“The National Treasury complied with all requirements. The payment was lawful and it was in the interest of the Kenyan people,” he said.