The Kenya Human Rights Commission (KHRC) has been de-regsitered for alleged tax evasion, illegal bank accounts and illegal hiring of expatriates.
The NGOs Coordination Board Executive Director Mohammed Fazul said that the board de-registered the commission for operating four illegal bank accounts— two at NIC bank and two others at the CBA— contravening the terms and conditions attached to the certificate of registration.
In a letter addressed to KHRC Chairman Makau Mutua, Mr Mohammed listed the reasons for de-registration.
“Your organisation has failed, declined or refused to pay statutory taxes to the Kenya Revenue Authority (KRA) amounting to Sh100 million as provided for under schedule 10 of the Income Tax Act,” he wrote.
The letter also states that the KHRC employed expatriates without valid work permits, “contrary to the provisions of The Kenya Citizenship and Immigration Act, 2011 , the NGOs Coordination Act 1990, the attendant regulations of 1992 and the terms and conditions attached to your certificate of registration,”.
The KHRC was founded by five Kenyans who at the time were in exile— Prof Makau Mutua, Mr Maina Kiai, Dr Willy Mutunga, Mr Kiraitu Murungi and Prof Peter Kareithi.
The commission has been decrying extrajudicial killings, arbitrary arrests and detention, democracy, human dignity and social justice.
The NGO is further accused of making false declaration on its annual returns and failing to disclose any benefits or remuneration offered to its board members.
“Kenya Human Rights Commission financial statements do not give a true and fair view of their financial position as of 4th October 2016 and subsequently it cannot be ascertained that the Sh1.2 billion received by the organisation during the same period is fully accounted for and whether the finances were utilised for the intended purpose in accordance with the Constitution of the Commission, Financial Reporting Guidelines and the requirements of the NGOs Coordination Act 1990,” Mr Mohammed says.
Central Bank Governor Patrick Njoroge has been urged by the NGO board to immediately preserve all funds held under the KHRC name and asked the Kenya Revenue Authority to initiate the process of recovering all accrued taxes.
“The Director of Immigration should immediately deport all foreigners working at the Kenya Human Rights Commission without valid work permits,” Mr Mohamed said in the letter copied to the KRA, the CBK and the Immigration Department.