Nairobi City. It is among the top counties that has failed to remit pension contributions. [photo/standardmedia.co.ke]
Local Authorities Pension Trust (Laptrust) has said that the outstanding pension remittance and accrued interests from its key investors has jumped to Sh18.6 billion as of September 2017 from Sh14.42 billion in December 2016.
According to Hosea Kitili, the chief executive officer of CPF Financial Services and also the Laptrust director, Nairobi and Mombasa counties are the top debtors.
In Nairobi, delayed Pension remittance stood at Ksh 10.71 billion as of December 2016 which is Ksh 2.63 billion more than what was obtained from the Nairobi defunct City Council by April 2013.
Mombasa county has been listed the second with an outstanding delayed remittance of sh1.82 billion, a growth of sh668.87 million as compared to what was inherited from the Mombasa City Council in April 2013.
Mr kitili has however attributed the late remittances to the failure by sponsors to remit members contributions in full.
“Late remittances of contributions and failure by some sponsors to remit members contributions in full have continued to exacerbate the situation,” said Mr kitili on Friday during the Annual general meeting in Nairobi.
Nairobi senator Johnson Sakaja who was also present at the meeting said that he will initiate a parliamentary process that will see the rising dues settled gradually by the possible use of the conditional grants.
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