Former Safaricom Chairman Nicholas Ng’ang’a has been elevated to chair the Kakuzi board, as part of changes being implemented in response to grievous allegations of abuse leveled against the company.
Ng’ang’a replaces Graham McLean, with the agricultural products firm looking to give Kenyans greater say in the running of the company. McLean is the managing director for Agriculture at Camellia Plc, which owns a 50.7 percent stake in Kakuzi.
John Kibunga Kimani was also appointed as a non-executive director in the shake-up. Kimani is the second largest shareholder at Kakuzi but had failed in previous attempts to secure a board seat.
“Given the current challenging circumstances facing the company, I look forward to being a team player as the board reimagines a Kakuzi that is not only sustainably profitable but also a Kakuzi that equitably serves the interest of all its shareholders and that is sensitive to some of the challenges facing its host community,” he noted in a statement.
Having grown up in the Kakuzi settler farms as a squatter, Kimani also has credibility among local community due to his philanthropic efforts.
Law firm Leigh Day announced in October that 79 Kenyans had launched a legal claim in the High Court in London against Camellia Plc for alleged human rights abuses by security guards employed by Kakuzi, its Kenyan subsidiary.
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The alleged abuses include rape, assault and other forms of violence.
The news sent shock-waves around the world, and saw numerous firms including UK-based supermarket chain Tesco suspend orders for supplies from Kakuzi.
As part of the shake-up at Kakuzi, the NSE-listed company also announced the formation of a human rights advisory team.
The board committee will be made up of figures from the local and international human rights sector.
Plans were also revealed to scale up Kakuzi’s alternative dispute resolution mechanisms and punish employees who go against the company’s ethical standards.
“The Independent Human Rights Advisory Committee and the Operational-level Grievance Mechanism are significant enhancements to Kakuzi’s governance processes. They underscore our determination to take a ‘belt and braces’ approach to human rights,” Ng’ang’a noted.
Kakuzi further requested the the Office of the Director of Public Prosecutions to investigate the allegations of criminality.
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