Members of County Assembly (MCAs) will not get unsecured car loans. [Photo/theinformer.co.ke]
Nakuru County will not give unsecured car loans to the Members of County Assembly (MCAs).
County clerk Joseph Malinda dashed ward representatives' hopes to get the loans and mortgages citing new regulations that require them to have security.
"The county does not have any security to fall back on in case the MCAs default on their loans," said Malinda.
The 78 ward reps were expecting each to receive Sh3-5 million mortgage and Sh2 million car loan.
After receiving the 'bad' news on Friday, the angry MCAs hurriedly convened a special 'kamukunji' to deliberate on the matter with Speaker Joel Kairu and the assembly clerk.
Malinda was forced to invite Family Bank officials to the assembly chambers to explain the new regulations to members.
The Bank had won the tender to process the loans.
"It took the bank officials two hours to explain to members why it was impossible to give them loans without collateral," the clerk reported.