Ex-KFCB boss Ezekiel Mutua must return KSh27M in illegal salary raises approved without state clearance, tribunal rules.
The former Kenya Film Classification Board (KFCB) CEO, Ezekiel Mutua, has been ordered to return KSh27 million (about USD 210,000) he received as part of an unauthorized salary increase during his second term in office.
The ruling was made by the State Corporations Appeal Tribunal, which upheld a surcharge initially imposed by the Inspectorate of State Corporations (ISC). The ISC had found that Mutua’s monthly salary was tripled — from KSh348,840 to KSh1,115,850 — without clearance from the Salaries and Remuneration Commission (SRC), the State Corporations Advisory Committee (SCAC), or the Cabinet Secretary for Sports, Culture, and Heritage.
📝 Full report: Tribunal upholds KSh27M surcharge on Mutua
⚖️ How the Dispute Began
Mutua served his first term as CEO of KFCB from October 2015 to October 2018. As his term neared its end, he requested a renewal. On May 29, 2018, the Cabinet Secretary for Sports officially declined the extension. However, the KFCB board bypassed this directive and renewed his contract unilaterally via a letter dated June 7, 2018.
Soon after, the board’s Human Resource subcommittee met on January 31, 2019 to discuss increasing Mutua’s salary. Despite internal disagreement and a lack of official approval, the board approved the raise.
🧾 Surcharge and Tribunal Ruling
On October 8, 2024, the Inspectorate of State Corporations imposed a KSh27,612,360 surcharge, citing Section 19 of the State Corporations Act. The Inspectorate argued that the increase was irregular and resulted in a loss of public funds.
Mutua appealed the decision, but in June 2025, the State Corporations Appeal Tribunal upheld the surcharge. The ruling stated that the CEO’s second term and subsequent pay rise were “personal to self,” unlawful, and procedurally flawed.
📌 “The board never implemented the Cabinet Secretary’s directive to stop or recover the overpayment,” noted the tribunal.
Mutua argued that since the board had renewed his term and paid him accordingly, he assumed the appointment was valid. He also said the Cabinet Secretary raised no objections during the time he served.
👥 Others Implicated
Also named in the tribunal’s decision was Nehemiah Kipkoech, a former KFCB board member, who was found responsible for approving the salary hike. The tribunal ruled the increment was unprocedural, null, and void, with no legal basis under public service salary guidelines.
The case has spotlighted governance weaknesses in Kenya’s state corporations, where board-level decisions may defy Cabinet and constitutional oversight, leading to financial irregularities.
🌍 Global Implication
Mutua’s case has drawn attention beyond Kenya’s borders due to his public visibility as a vocal media regulator and the widespread concern over public accountability in Africa’s parastatals. The outcome affirms Kenya’s efforts to enforce transparency in state-owned enterprises, many of which have been under pressure to align with international governance standards.
