Kenyan Parliament probes SICPA SA over costs of excise stamps

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NAIROBI - Kenyan Parliament has questioned the operations of SICPA Security Solutions, a firm contracted by the country's revenue authority to provide excise stamps for excisable goods.

According to Parliament, Departmental Committee on Finance and National Planning summoned SICPA Security Solutions after the members reviewed the performance of the Implementation of the Excise Duty (Excisable Goods Management) (Amendment) Regulations, 2023.

"The Committee had invited officials of SICPA Security Solutions to appear before it to shed light on a number of issues concerning their engagement with Kenya Revenue Authority including the number of Excise stamps supplied to date, the effect of the undersupply on the contract cost and revenue collection and how the firm costs the Excise stamps," the Parliament stated. 

The officials, however, did not show up for the meeting. 

The Chief Commercial Officer of SICPA, Gianni Santoro, said the invitation letter had erroneously been directed to the wrong address. 

He, however, indicated that as a law-abiding entity, SICPA SA, its Directors and Officers are committeed and willing to cooperate with the National Assembly.

“I confirm my availability as the Chief Commercial Officer to appear before the Committee as directed, though on account of previously confirmed engagements and the short notice given, the earliest would be available is the second half of September 2023,” Santoro wrote.

The committee chair Hon Francis Kuria cautioned that the Committee would demand for the arrest of its officials, should they fail to honour the summons.

“It is unfortunate that SICPA SA failed to honour our invitation. This Committee is keen to investigate the gaps and inefficiencies of concern, key among them, the cost of stamps, management of the contract and the implementation of the system. We shall therefore invoke Article 125 to enforce the attendance of witnesses,” he noted.