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November 14, 2018

Kisumu brewery suppliers demand millions of shillings from Civicon

KBL Head of Packaging and Engineering Jacob Bett (Right) demonstrates the Senator Keg brewing process to the Agriculture Cabinet Secretary Mwangi Kiunjuri (Left) during a tour of the KBL plant in Kisumu/MAURICE ALAL
KBL Head of Packaging and Engineering Jacob Bett (Right) demonstrates the Senator Keg brewing process to the Agriculture Cabinet Secretary Mwangi Kiunjuri (Left) during a tour of the KBL plant in Kisumu/MAURICE ALAL

Suppliers in Kisumu have accused Civicon Ltd at Kenya Breweries Limited of failing to pay them millions of shillings.

They are owed Sh1.1 million to Sh7 million. They supplied general building materials and equipment at the Kisumu’s Sh15 billion brewery plant.

Civicon was subcontracted by main contractor Diageo International to build a water treatment plant. Philip Ochieng, the Kisumu community chairman, said local suppliers have not been paid.

Efforts to reach Civicon CEO Ben Kiilu for comments were unsuccessful as calls and texts went unanswered.

Ochieng asked KBL to take action on the matter likely to generate protests. One supplier said KBL should intervene. He said they risk losing their money after Civicon allegedly removed their construction machinery and equipment from the site on Saturday night.

The equipment was removed after suppliers got a court order allowing auctioneers to tow the equipment for lack of payment. Suppliers said attempts to get payments have been futile.

“We took loans from banks which we ought to have paid.”

Civicon is also accused of paying Sh704,000 to a supplier in July but later cancelling the transaction.

It has has also been accused of relieving more than 100 workers of their duties without following the right procedure. Suppliers plan on demonstrating at the KBL Kisumu offices.

Kisumu City Residents Association chairman Audi Ogada has criticised Civicon for refusing to pay the suppliers.

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