Kamp to Kecobo, ‘Your math on royalties is wrong’
The Kenya Association of Music Producers (KAMP) has called out the Kenya Copyright Board (Kecobo) for misleading their members on their royalties.
This comes at a time when Kecobo is locked in vicious fights, with all Collective Management Organizations (CMO) saying that they short-changed their members.
In an Interview with Nairobi News KAMP CEO Maurice Okoth and chairperson, Angela Ndambuki said that what Kecobo Chairman Joshua Kutuny presented to the media was not true.
“We are however concerned that what was reflected as the operations and performance of KAMP is inaccurate despite the correct information is already with the regulator. KAMP has already provided the correct documents which support our position in terms of efficiency and effectiveness. We are concerned that this information was however not highlighted in yesterday’s (Wednesday, February 21) report by KECOBO as the numbers offered to the media were inaccurate,” said Ndambuki.
She said that following the coming to force of the new tariffs they have increased KAMP’s share of collections in the month of January to over Sh11.2 million.
“Out of a collection of Sh11,246,840 KAMP has in its distribution account Sh6,906,690 representing 61.39 per cent which is higher than our average distribution last year. In 2023 KAMP collected Sh52.7 million with Sh7,958,176/- reserved for distribution to our members representing 15 per cent before the inclusion of the receivable royalties,” she added.
Also read: Kecobo exposes list of 15 top artistes paid less royalties by MCSK
She said that it was their view that what Kecobo was highlighting on KAMP’s position on the actuals of Sh57.1 million is not the correct position and did not reflect receivables that were invoiced but monies had not been received by the close of the accounting period.
“With the inclusion of receivable royalties under our accounting principles then the performance of KAMP stood at 41 per cent reserved for distribution whilst direct licensing costs together with administrative costs combined for the remaining 59% per cent. This data was submitted to Kecobo vide our report dated 5/02/2024.”
According to Chairman Joshua Kutuny, MCSK, Kenya Association of Music Producers (KAMP) and Performers Rights Society of Kenya (PRISK) collectively collected Sh249,687,212.80 in royalties, but there were discrepancies in the amounts declared by each body.
“While KAMP and PRISK declared collections of Sh249 million, accounting for Sh61 million and Sh52.7 million respectively, MCSK on its part declared receipts of Sh109 million, a shortfall of Sh26 million,” said Kutuny.
“Cumulatively, MCSK declared total revenues of Sh139,295,094 comprising of Public Performance (109 million) and Mechanical income (thirty million),” he said
KAMP’s executives, CEO Maurice Okoth and Chairperson Ndambuki, have defended their actions, emphasising their commitment to transparency.
They also challenged what they described as an unfair, broad condemnation of the conduct of other CMOs.
The executives elaborated on the challenges faced by CMOs in Kenya, including non-compliance by broadcasters and regulatory tariff reductions, but assured their commitment to lead reforms in the sector.