The Kenya Ports Authority (KPA) and the Kenya Railways Corporation (KRC) are locked in a dispute over the transfer of Sh5.95 billion to an escrow account for the repayment of a Chinese loan used to build the Mombasa to Nairobi standard gauge railway (SGR) line.
Auditor-General Nancy Gathungu said that the failure by KPA to deposit the $45.8 million (Sh5.95 billion) escrow account is a breach of the terms of the SGR loan between Kenya and China that was signed in 2014, exposing taxpayers to penalties.
