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Tuskys empire in trouble
essyk
#1 Posted : Sunday, April 29, 2012 11:04:54 PM
Rank: Elder

Joined: 11/15/2011
Posts: 4,518
http://www.theeastafrican.co.ke/

The Tuskys affair is now illustrating how disputes over corporate governance are starting to tear family businesses apart.

correspondence unravels a tale of corporate betrayal, espionage, sabotage and mistrust inside the Tusky’s boardroom.

The battle for the control of the business reads like an episode from the globally famous feud between the Ambani brothers, Mukesh and Anil –– the two wealthiest men in India — who ended up splitting the massive Reliance Industries empire built by their father Dhirubhai Ambani.

If the dead woke up to find what they built tearing their families apart, they would die again and again.Sad



"The true measure of a man is how he treats someone who can do him absolutely no good.
digitek1
#2 Posted : Monday, April 30, 2012 11:42:16 AM
Rank: Veteran

Joined: 2/3/2010
Posts: 1,797
Location: Kenya
succession planning is the only way. delink family from management kabisa
I may be wrong..but then I could be right
Jus Blazin
#3 Posted : Monday, April 30, 2012 11:55:07 AM
Rank: Elder

Joined: 10/23/2008
Posts: 3,966
Sibling rivalry is everywhere, evident from big companies like Tuskys to brothers killing each other over a few acres of inherited land.
Luck is when Preparation meets Opportunity. ~ Lucius Annaeus Seneca
QW25091985
#4 Posted : Monday, April 30, 2012 12:36:59 PM
Rank: User

Joined: 1/24/2012
Posts: 1,675
Location: In Da Hood
U can throw in samsung to that list .
selah
#5 Posted : Monday, April 30, 2012 1:08:08 PM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya
I think this family is opening a pandora box.Tuskys is not as clean as they think it is...they may be thinking that they are professionalizing the company by removing a director they feel is mismanaging the company but in actual sense they are letting the govt dig into their finances and trust me this forensic audits will end up killing the company than achieve their intended goal(CMC is a good example).

Tax evasion is rampant in most kenyan big companies and am sure tuskys is one of them.Once the CID carry out their Audit then we will witness one hell of family drama.

If I was the Kamau family I wuld sort this mess privately without involving the govt....
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
selah
#6 Posted : Monday, April 30, 2012 1:10:21 PM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya
.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
YesuWangu
#7 Posted : Monday, April 30, 2012 1:16:49 PM
Rank: Elder

Joined: 8/11/2010
Posts: 1,588
selah wrote:
I think this family is opening a pandora box.Tuskys is not as clean as they think it is...they may be thinking that they are professionalizing the company by removing a director they feel is mismanaging the company but in actual sense they are letting the govt dig into their finances and trust me this forensic audits will end up killing the company than achieve their intended goal(CMC is a good example).

Tax evasion is rampant in most kenyan big companies and am sure tuskys is one of them.Once the CID carry out their Audit then we will witness one hell of family drama.

If I was the Kamau family I wuld sort this mess privately without involving the govt....


What is it about money that more of it is always needed yet it can only buy so much?

Lolest!
#8 Posted : Monday, April 30, 2012 1:21:11 PM
Rank: Elder

Joined: 3/18/2011
Posts: 12,069
Location: Kianjokoma
@selah, I doubt this related parties business would have escaped KRA. They are very keen on such business especially on pricing. I dont think extending credit to related parties would be a tax issue.
Laughing out loudly smile Applause d'oh! Sad Drool Liar Shame on you Pray
selah
#9 Posted : Monday, April 30, 2012 1:44:41 PM
Rank: Elder

Joined: 10/13/2009
Posts: 1,950
Location: in kenya
IF you read btwn the lines powers beyond the family is at play..I think the family dont know what exactly is going on and they will get their hands burnt in the process of finding the truth.

Quote:
Documents obtained by The EastAfrican show the directors are in dispute over the appointment of finance director Frank Kamau — the senior most non-family member in the company — and the suspension of several family members from the running of the business as well as over who should be the signatories of key bank accounts.



Quote:
The three brothers who are not happy with how Mr Mukuha has been running the empire sought the services of the CID to help unearth what they claim are fraudulent dealings in the company. Through their lawyer Murgor & Murgor, the three, in a letter sent to Mr Mukuha dated March 3, 2012, are questioning the diversion of Ksh1.5 billion ($18 million) to non-related businesses. Mukuha in his written response says that the amounts and beneficiaries had been table and a board meeting and the issues are well understood by all parties.
'......to the acknowledgment of the mystery of God, and of the Father, and of Christ; 3 In whom are hid all the treasures of wisdom and knowledge.' Colossians 2:2-3
KenyanLyrics
#10 Posted : Monday, April 30, 2012 7:11:25 PM
Rank: Veteran

Joined: 4/16/2010
Posts: 906
Location: Nairobi
digitek1 wrote:
succession planning is the only way. delink family from management kabisa


Applause Applause Applause


Just leave them as common stock shareholders and nothing more. Wacha MBAs to run that thing. Rule number 1 of business is not to work with people you love.
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