Mumias Sugar taken by receiver managers amid unnecessary noise from politicians.

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Mumias Sugar Company[Photo/Courtesy].

Panangilipali Venkata Ramana Rao from Tact Consultancy Services has been appointed by Kenya Commercial Bank as the official receiver of the troubled Mumias Sugar.

Through a letter addressed to the miller and seen by Jihami.com on Tuesday Sept 25th, Mr. Rao noted that they(Mumias Directors) are required to submit the Company’s statements in 14 days time.

“Please note that the Receiver may consider reasonable extension of time merits, upon your application giving your reasons for the need of such extension. Failure/Default to submit the statement of the Company’s Affairs is punishable under Section 352(5) of the repealed Company’s Act,” partly read the letter’

In the demand letter, the receiver is asking for a list of movable and immovable assets including private and commercial vehicles, trade and other creditors, aged analysis of the trade and other debtors, list of bank accounts alongside the balances and full particulars.

“You shall also attach particulars of insurance cover currently available, copies of valuation reports and technical assessment reports and copies of any valuation and technical assessment reports if available, ” Rao read the statement.

Mumias Sugar went into the ‘ICU’ due to mismanagement a couple of years ago with efforts to bail it out hitting a dead wall where it has instead gobbled millions meant to bring it back to life.

The giant miller owes money in billions to both lenders and other state agencies including Kenya Power and Kenya Revenue Authority.

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