Owalo makes changes at KBC as Maina is suspended

Dec 19, 2023 - 12:05
 0
Owalo makes changes at KBC as Maina is suspended

By Peter Ochieng

Samuel Maina has been suspended from the position of acting Managing Director (MD), at the Kenya Broadcasting Corporation (KBC) with immediate effect.

In taking the action, Information, Communication, Technology and Digital Economy Cabinet Secretary (CS) Eliud Owalo accused Maina of committing the government to pay over Sh750 billion in a case versus Kenya Broadcasting Corporation without seeking the Ministry, National Treasury, and the Office of the Attorney General and Department of Justice authorisation.

Maina, former KBC’s Editor-in-Chief, was accused of directing the media house to pay the money in an arbitration case filed at the London Court of International Arbitration (LCIA).

The dispute dates back to 2009 when KBC terminated a joint venture agreement with Dubai-based businessman Ajay Sheth, owner of Channel 2 Group.

KBC and Channel 2 entered a joint partnership in 2006 where the State broadcaster would provide technical equipment, while the latter supplied the new digital station with staff, programming content and resources.

However, Channel 2 and Sheth argued that KBC terminated the deal without notice in 2009, costing the businessman billions in foregone profits and expenses sunk into the joint venture.

Owalo in a letter dated 19th December, 2023 suspended Maina with immediate effect, directing that he proceeds on suspension as disciplinary action is instituted against him.

"The appointment of Mr. Samuel Maina as acting Managing Director is terminated with immediate effect. Mr. Samuel Maina should proceed on suspension immediately and disciplinary action instituted against him by the Board," said the CS.

He has named communication economic expert Paul Macharia to replace Maina.

The letter is addressed to KBC Board Chairman Eng. Benjamin Maingi, who has been directed to expedite the recruitment process of a substantive MD.

Macharia has been appointed acting MD for six months.

Maina, a former Vice-President of the Kenya Editors’ Guild, was appointed acting Managing Director of KBC following the exit of Naim Bilal.

Bilal's contract expired on March 19, 2022.

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