A company based in Kenya shall be exempted from being subject to a fine of Ksh 2,000 and an additional Ksh 100 for each day of the default period by all persons directly or indirectly owning or controlling the company. Retention of personal records is required by law.
This is under the Money Laundering and Terrorist Financing (Amendment) Act 2023.
The law was signed into law by President William Ruto on September 1, 2023. Require all companies to declare all stakeholders.
“Every company must keep records of beneficiary information for at least 10 years from the date on which it ceases to be a beneficiary,” reads part of the law.
Image of a business shop in Nairobi, Kenya
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The Act further provides that companies, other than listed companies, must file a copy of any amendment to the register of beneficial owners with the Registrar within 14 days of the amendment.
For listed companies, such amendments must be notified to the Registrar of Companies within 30 days of their implementation.
The Act warns that “if a company fails to comply with the requirements, the company and each defaulting officer will be liable to pay an administrative penalty of Sh20,000 to the Registrar.”
“If the company continues to fail to comply, the company and each officer of the defaulting company will be liable to pay an additional administrative penalty of K100 to the Registrar for each day of non-compliance.”
Officers of our company Records must be kept for 7 years even after dissolution – Remove the company name from the official register.
Additionally, the law stipulates how small and medium-sized enterprises should be staffed.
therefore, Paid-up share capital is less than Sh5 million A secretary, field director, or contact person who is a permanent resident of Kenya is required.
This law came into effect on September 15, 2023.
Members of Parliament attend President William Ruto's State of the Nation Address on November 9, 2023.
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Musalia Mudavadi
