- The Communications and Multimedia Court of Appeal has upheld the cancellation of six broadcasting licenses of Standard Media Group, dealing a major blow to
- The chief executive officer of the company, Chaacha Mwita, noted that the news house will appeal against the decision in the Supreme Court
- The caller revealed that the government owes the group more than KSh 1.2 billion for broadcasting services provided over the years.
Standard Media Group suffered a major blow on Friday, March 27, after the Communications and Multimedia Appeal Court approved the cancellation of six of its broadcasting licenses.
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The court rejected the media group’s appeal regarding the remaining regulatory fees totaling KSh 48.8 million.
The amount includes KSh 13.8 million in license fees and KSh 34.9 million under the Universal Service Fund, a levy established by the Kenya Information and Communications (Amendment) Act, 2009, to promote IT innovation across the country.
Affected licenses include Vybez Radio, Berur FM, Radio Maisha, Spice FM, KTN Entertainment, and KTN News.
What did Standard Group say about the decision?
The acting chief executive officer of Standard Media Group, Chaacha Mwita, noted that the news organization will appeal against the decision in the Supreme Court.
“The group will exercise its legal right to challenge this decision before the Supreme Court,” he said in a statement on Friday, March 27.
According to Mwita, the company has instructed its legal team to file an appeal against the court’s decision.
The CEO said that they will use every legal option to protect their employees and licenses, expressing his belief that justice will be done.
How much does the government owe to Standard Group?
Mwita said that the company owed the debts due to the government’s failure to pay its advertising debt of KSh 1.2 billion for the services provided by its stations.
“To date, the government of Kenya, through various ministries, government agencies, and county governments, owes Standard Group more than KSh 1.2 billion for advertising and media services rendered over several years,” Mwita revealed.
The CEO noted that the company had expressed its intention to pay the remaining debt, but the government agencies failed to pay what they owed.
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Mwita accused the government of trying to stop the news house from its harsh revelations.
“The Standard Group is being punished not for failing to pay the debt, but for failing to be silenced. Our newsrooms have held leaders accountable, exposed corruption, and given voice to the voiceless. If the government would only pay the KSh1.2 billion owed, we would pay every shilling CA owes and continue to serve them without interruption.”
What was the loss of the SMG?
In the financial year ended December 2023, the company reported a loss of KSh 1.26 billion, from KSh 1.2 billion the previous year.
Initially, the company dismissed the bankruptcy claims, explaining that all its services were operating on schedule.
The media house, headquartered along Mombasa Road, also assured customers, employees, and shareholders that it continued to grow rapidly despite the difficult economic conditions.
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