Legal Battle Brews: Miguna Miguna Slams Ichung’wah Over Parastatal Sale, Advocates for Public Ownership
Attorney Miguna Miguna criticized National Assembly Majority Leader Kimani Ichung’wah on Thursday for labeling them as ignorant Kenyans who were protesting the government’s intention to sell eleven parastatals.
Ichung’wah defended the government’s plans on the floor of the National Assembly on Wednesday, characterizing them as a shrewd move that would allow the companies to reach their full potential.
Miguna, on the other hand, refuted this argument in a statement, arguing that no empirical evidence existed to support the claim that a sale would ensure profitability.
“Governments all over the world run profitable hotels, banks, and other enterprises. Nothing stops the government from leasing KICC space to private enterprises at a profit. However, ownership must remain public,” Miguna said in a statement.
“You don’t have to sell parastatals to make them profitable. You have to hire competent and incorruptible managers to run them,“ he further stated.
Miguna provided instances of state-owned enterprises that were divested but ultimately failed financially as evidence to support his position.
“Many private companies have collapsed due to mismanagement. It’s financially illiterate to argue that privatization makes anything profitable,” he added.
As stated by Miguna, the resolution lies in curbing corruption, nepotism, tribalism, cronyism, and incompetence in public service—the primary challenges confronting state-owned enterprises.
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Ichung’wah elaborated on his position the day before, stating that the Privatization Act, which was approved by Parliament, will serve as a guide for Kenya in the future to attract investors and generate additional revenue.
Furthermore, Ichung’wah lamented that propaganda emanating from various sources had tainted the news regarding the government’s intention to sell the parastatals. He was concerned that the majority of Kenyans were uninformed and therefore likely to be provided with false information.
“90 percent of the occupancy at KICC is Parliament and it’s paying peanuts due to the government-to-government agreement. This is a prime location that can generate more for government if leased,” he explained.
The government announced its intention to sell eleven state corporations, including the Kenyatta International Convention Centre (KICC) and Kenya Pipeline, in a gazette notice published on Monday.
The privatization of parastatals has generated a range of responses from Kenyans, with some expressing concerns regarding the legality of the entire scheme.
Legal Battle Brews: Miguna Miguna Slams Ichung’wah Over Parastatal Sale, Advocates for Public Ownership
