This archive report was first published on 7 December 2019.
Kenya's Interior Cabinet Secretary Fred Matiang'i has launched a crackdown on private security firms that fail to pay taxes and remit statutory deductions.
Speaking during the launch of the training curriculum for level-one private security guards at the Kenya School of Government in Kabete, Dr Matiang'i ordered a compliance audit to be conducted by the Kenya Revenue Authority (KRA), the National Intelligence Service (NIS), and the office of the Inspector-General of Police starting in January.
The audit aims to identify non-compliant companies, which will be edged out of the industry in April 2020. Dr Matiang'i stated that new licences will be issued to all compliant private security firms in April 2020, while those who fail to comply will not be allowed to operate.
Dr Matiang'i also ordered the Private Security Regulations Authority (PRSA) to publish service standards for private security guards within the next 30 days.
The government intends to enforce the Security Regulations Act (2016), which was annulled by the National Assembly Committee on Delegated Legislation last month.
Dr Matiang'i emphasized the government's determination to reform the sector, stating that investors should be happy about the opportunities being created in government parastatals and other agencies where the guards will be deployed instead of the police.
He warned security firms planning to go to court to block the reforms to prepare for a tough battle similar to the one the government fought with betting companies.
Published on December 7, 2019, Dr Matiang'i's announcement has sent shockwaves through the private security industry, with many firms facing the prospect of being edged out of business if they fail to comply with the new regulations.
