Kenya’s largest music collective management organization (CMO), the Music Copyright Society of Kenya (MCSK), is facing intense scrutiny over allegations of undeclared royalties and a lack of transparency in its operations.
The Kenya Copyright Board (KECOBO) revealed in a press statement that MCSK declared significantly lower royalty receipts for 2023 compared to the other two licensed CMOs – KAMP and PRISK. While the three CMOs jointly collected KES 249 million, MCSK reported only KES 109 million, a shortfall of KES 26 million.
“From the information presented by the three CMOs themselves, KECOBO established that the sum of KES 249,687,212.80 was collected jointly from January to December 2023. However, there was a disparity in amounts declared by MCSK and those declared by KAMP and PRISK for 2023 joint collection,” stated KECOBO Chairman Joshua Kutuny.
Furthermore, MCSK failed to account for KES 30 million in mechanical royalties received from foreign entities like PRS London, CAPASSO, and Google Ireland. “The details and amounts received for mechanicals in 2023 including monies received from foreign entities like PRS London, CAPPASSO and Google Ireland totaling Kshs.30 million were also not accounted for,” the statement read.
KECOBO has demanded that MCSK provide a detailed breakdown of its income sources, legal fees, payroll costs, budgets, and other financial information. “The Society did not submit the above information despite being requested in writing,” Kutuny said, expressing concern over MCSK’s lack of transparency.
The revelations have sparked outrage among artists and industry stakeholders, who have long accused the CMOs of mismanagement and opaque accounting practices.
KECOBO has threatened to impose penalties on MCSK if the organization continues to violate regulations. “Should this unwarranted change be confirmed, suitable penalties will be imposed on the Music Copyright Society of Kenya,” Kutuny warned, referring to MCSK’s attempt to amend its bylaws and extend board terms, which would be inconsistent with the law.
The controversy has once again highlighted the need for greater accountability and transparency in the management of artists’ royalties in Kenya. As public pressure mounts, all eyes will be on MCSK to provide satisfactory explanations and address the allegations leveled against it.
