NSSF insider takes the helm

September 10, 2008 12:00 am

, NAIROBI, September 10 – Labour Minister John Munyes has appointed a National Social Security Fund (NSSF) insider as the acting Managing Trustee.

James Akoya who has been the NSSF General Manager for Finance and Investments on Wednesday replaced Rachael Lumbasyo who was sent on a 90-day compulsory leave pending retirement, to pave way for investigations into the management of the organisation.

Munyes had initially appointed Fred Rabongo in an acting capacity immediately after Lumbasyo was forced out. But Akoya’s appointment was criticised by the board leading to a stalemate that promoted the intervention of the Prime Minister’s office.  At the time COTU Secretary General Francis Atwoli, who is a board member, said the minister’s action was illegal and unacceptable.

In announcing the new appointment, Munyees said: “Together with the board we have agreed that they begin formal recruitment of a new Managing Trustee whom I will name in two months.”

Lumbasyo had been at the helm of the social security fund since November 2005 and was due to retire in November.

Munyes also said that he had mandated a team to probe claims of rampant corruption in the institution. The team would look at how NSSF had been managed and submit a report on its findings within two months.

“We have constituted a team with Prime Minister’s office to analyse how NSSF can improve in service delivery. I appeal to members of the public to submit suggestions or queries on its management.”

In accepting the new position, Akoya promised to efficiently manage the retirement fund.

“NSSF needs a management which has integrity to run it and I want to assure you that we are going to cultivate integrity principles in our management,” he told reporters.

The National Social Security Fund is a state corporation that was established in 1965 to administer a provident fund scheme for all workers in Kenya.

Its membership has grown steadily over the years and by the end of 2007, it had a cumulative registered membership of about three million.

Currently the institution has 45 branches country wide and collects more than Sh6 billion annually while its investment portfolio currently stands at more than Sh90 billion.


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