Members of Parliament have threatened to block Central Bank of Kenya (CBK) Governor Dr. Patrick Njoroge’s reappointment to the position.
The MPs accuse Njoroge of enacting stringent banking regulations, especially on bulk transactions.
Led by National Assembly Majority Leader Aden Duale and his minority counterpart John Mbadi, the MPs have protested the Sh1 million daily transaction limit.
CBK requires those depositing or withdrawing more than Sh1 million to disclose why the huge transaction is necessary, the source of the funds and full identities of the direct and indirect beneficiaries among other details.
“When you sell your three camels, you are asked where the money is coming from,” says Duale.
“When I received my mortgage, Barclays Bank asked me to explain where the money came from. If I am transferring my money from one account to another, why should I explain the source?” MP Mbadi poses.
Suna East MP Junet Mohamed says the Sh1 million limit has affected well-meaning business professionals.
“What the CBK governor is doing is unacceptable and illegal. You can’t just wake up one morning and do irregularities in form of circulars and memos to financial institutions.”
“We are not supporting illicit trade and money laundering but when genuine business is being frustrated, we can’t keep quiet,” Junet notes.
Consequently, the National Assembly’s Finance Committee has summoned Njoroge on Tuesday to defend the rules.
“We gave the CBK a second chance to bring the regulations but he has failed … they engaged us in a cat-and-mouse game. We have issued the last invitation,” says Joseph Limo, the committee’s chair.
Nduale and friends are the…
Nduale and friends are the most corrupt gang in the country today and the CBK has been stepping on their toes making it harder and harder for these money launderers to do business as usual. The Kenya- Somali border source of all the magendo in the country has enriched these M-Pigs as well as the Al-Shabab, the same terrorist group Kenya has been fighting. That said I doubt these M-Pigs will fight the CBK governor on this one because parliament is as good as dead and the only thing they are concerned about is inflating their salaries. Leadership in parliament does not exist.
If MPigs are in pain and it…
If MPigs are in pain and it’s about money; Njoroge must be doing something great for our country. Note: the memo doesn’t say you can’t take out the money but rather what business you are transacting and where the money comes from. It’s Worthy noting that even in USA, according to federal banking law, if you withdrawal,$10,000 or more in cash, your bank must report such transaction to the IRS. And the feds can come asking why you need such amount of money. It’s no secret fellow Kenyans; our banks must be willing participants in order for corruption to thrive in the country. These MPigs don’t like leaving paper trails whenever they are busy laundering their dirty stolen public money. Bravo Njoroge! Tighten the noose and hang them with their stolen loot.
Kweli. Why are they afraid…
Kweli. Why are they afraid to say what the money is for, and where it came from, if it is clean money. This is a good way of fighting corruption.