The parliamentary committee has summoned Mumias Sugar Company directors to explain how they used Sh3 billion allocated for the firm’s bailout.
According to the committee, the directors are expected to appear before them on Thursday next week to shed more light on how the money was spent.
This comes after the company registered Sh4.7 billion loss in the last financial year.
Speaking during a fact-finding visit at the factory, the Agriculture Committee under the chairmanship of Justice Kemei said it is the mandate of the committee to know how the amount was used by the management of the company.
“We have asked for the full account of the same. We need to be sure that the money provided by the government was used for the intended purpose,” he said as quoted by the Daily Nation.
According to the committee, the cash was released to help the company to remain afloat by clearing debts owed to the farmers.
He also said that part of the money was to be used to revive the production of sugar cane in different parts of the nations.
Reports indicate that the company is yet to settle Sh700 million it owes farmers from the Western region.
The members of the committee have also urged the directors to present an audit report showing individuals who want to bring down the miller. “We desire to have that report so that we can interrogate it,” he said. ,