Dept aims to collect K94m in arrears

By WANPIS AKO
LANDS and Physical Planning Minister Benny Allan says he is confident of recovering K94 million in arrears owed by business houses and individuals.
Allan told The National yesterday that if the money was collected this year, it would help the government manage its budget deficit.
He said the debt amount was almost equivalent to 1.4% of the total 2013 budget or 19% of the deficit.
“We are in the process of engaging a private law firm to enforce the recovery exercise,” he said.
“We have written to them so we are expecting them to pay their land rentals to the department,” he said yesterday.
Allan said earlier that the department needed K250 million to settle land compensation claims and for land acquisition over the next three years.
He did not disclose the break-up of the arrears by provinces and any penalties for the defaulters.
The minister added that the department would replace the current manual land titling system to address double-land titles with an electronically automated land titling system.
Prime Minister Peter O’Neill commended Allan for his vision and leadership in bringing progressive changes to the department.
Meanwhile, reports indicate that the government is owed K2.1 billion in tax arrears, which is about 15% of the 2013 budget.