The National Assembly’s Committee on Communication, Information and Innovation have rejected President William Ruto’s nominee for the State Department for Broadcasting and Telecommunication Principal Secretary (PS) Stephen Isaboke over conflict of interest owing to his shares GOtv a subsidiary of MultiChoice, and his links to a radio station owned by his nephew.
The committee chaired by Dagoretti South MP John Kiarie has instead advised Ruto to fund him another job elsewhere.m saying he’s closely knitted to GOtv and other media entities to be ache to discharge his duties fairly as a PS.
Appearing before the parliamentary committee on last week, Isaboke was pressed to explain how he acquired a 30 percent stake in GOtv Kenya for Ksh5.2 million and whether his interest in the company would compromise his ability to oversee the broadcasting sector.
Isaboke, who has served as a director at GOtv since 2011, said he bought the shares after the Kenya Broadcasting Corporation (KBC), which had been in talks with MultiChoice over a potential partnership, declined to pursue the deal.
He told the committee that GOtv was fully funded by MultiChoice Africa and that KBC had no financial stake in the company.
“MultiChoice Africa had proposed a partnership with KBC, and discussions went on for over 10 years. However, for various reasons, KBC declined to take up the partnership. Currently, there is no active relationship between KBC and GOtv, except in terms of infrastructure sites,” he said.
Keiyo South MP Gideon Kimaiyo also sought clarity on a loan issued to GOtv by MultiChoice Africa.
Isaboke admitted the company had received an intercompany loan to support its operations but said he could not recall the exact amount.
“It’s normal for a parent company to fund a subsidiary. I’m not aware of any deal where part of the loan was to be paid by GOtv and part by KBC,” he said.
Lawmakers further questioned Isaboke’s failure to disclose his involvement with Inka FM, a radio station owned by his nephew.
He admitted to helping his nephew set up the station but maintained he had no role in its day-to-day operations.
“The station is fully owned and run by my nephew but I am not part of its operations,” he told the committee.
Kenya Insights allows guest blogging, if you want to be published on Kenya’s most authoritative and accurate blog, have an expose, news TIPS, story angles, human interest stories, drop us an email on [email protected] or via Telegram