Fines set for holding onto unclaimed assets

Unclaimed Financial Assets Authority (UFAA) has warned that institutions or individuals holding unclaimed assets risk heavy penalties if they fail to submit them on time.

While urging people to come forward to claim any unclaimed assets, UFAA Managing Trustee John Mwangi warned individuals and institutions in the public and private sector are still holding billions in unclaimed assets.

According to a base line survey report on the state of unclaimed financial assets released by UFAA reveals that the current unclaimed financial assets in the country are estimated at Sh241 billion.

“Majority of Kenyans do not know the position of their unclaimed assets and thus are not able to access their unclaimed assets due to lack of information about the same. This has been aggravated by various challenges like lack of proper data about the initial status of the same,” said Mwangi.

Institutions in the public and private sector have a moratorium of up to the end of October 32, 2023 to remit all the unclaimed assets in their custody. Speaking to members of the public at Thika Stadium, Mwangi further warned that institution risk a 25 per cent charge on value of the assets that should have been paid or delivered.

“A person who wilfully fails to render any report or perform other duties required under this Act shall be liable to pay a penalty of Sh7,000 but not more than Sh50,000 for each day the report is withheld or the duty is not performed,” he added.

So far Sh57 billion worth of unclaimed assets both shares and assets and the owners will receive them once proper data has been documented. This includes assets worth Sh27 billion in cash and Sh30 billion worth of shares.