Kakamega County Assembly has started the process of recovering Sh250 million from former ward representatives who failed to repay car loans and mortgages.
The assembly has advertised for lawyers to pursue the debt after notices to the former MCAs went unanswered, Clerk Patrick Kamwessar said.
Kamwessar said the unpaid loans had pushed the assembly into a financial squeeze and made it harder to extend the same facilities to current members.
“We have no other option but engage lawyers to handle the matter since the former MCAs have failed to respond to notices to pay up the money,” he said.
He added that the assembly was recovering about Sh4 million each month, but said the amount was still too small to meet demand.
“Currently we have managed to advance some loans to MCAs from the money we have recovered but the amount is small,” Kamwessar said.
The former MCAs owe between Sh500,000 and Sh4 million each.
Under the assembly scheme, each MCA is entitled to a Sh2 million car loan and a Sh3 million mortgage, repayable within the term of office at an interest rate of 3 per cent.
The defaults have also prompted the assembly to propose stricter rules requiring current MCAs to clear their loans before the end of their term.
It also wants vehicles and land bought through the facility to be registered in the assembly and in the MCAs’ names.
The recovery drive was reported in 2018, after the August 8 General Election had left a majority of the defaulters out of office.
