KAMP denies embezzlement claims after KECOBO suspends operating license

In a public notice issued on July 6, KAMP said it was "dismayed and deeply concerned" by KECOBO's decision, pointing to what it described as an ongoing, constructive relationship with the regulator prior to the suspension.

The organization noted that on June 23, 2026, it signed a service level agreement with eCitizen for the collection of royalties, an event it said was attended and witnessed by KECOBO's Chairperson and Acting Executive Director.

Addressing the embezzlement allegation directly, KAMP categorically denied any wrongdoing, saying it only learned of the claim through KECOBO's public notice and had never been asked to account for the funds in question through any prior correspondence.

"In the interest of our rights holders and the stakeholders, we have therefore formally requested KECOBO to provide particulars and evidence upon which this serious allegation is based," the organization said, adding that it remains ready to engage on the matter.

KAMP said it had responded promptly to governance and operational concerns KECOBO raised in a letter dated May 14, 2026, submitting supporting documentation four days later. It further stated that it had submitted its distribution schedule to the regulator on June 16, ahead of distribution, and noted that the embezzlement allegation was not mentioned in KECOBO's earlier May letter.

The organization argued that KECOBO suspended its license without substantively considering its formal response or granting it a fair hearing, despite an express request for one, a move KAMP said falls short of the principles of fair administrative action.

KAMP also weighed in on the broader eCitizen joint licensing project, stating it was the first collective management organization (CMO) to back and onboard the initiative. However, it raised concerns over what it called an unfair tariff mapping structure that allocated 20 tariff categories to one CMO while granting KAMP only four.

According to KAMP, the 20 tariffs in question cover the traditional performance rights sector, historically the core revenue base for CMOs, and the arrangement threatens its ability to generate administrative income given a proposed 30 percent administrative fee tied to each tariff category.

"This inequity raises serious concerns regarding the viability of our operations and the fairness of the distribution process," the organization said, adding that the imbalance undermines equitable representation among CMOs.

KAMP said it remains committed to resolving the standoff through appropriate channels under the Copyright Regulations 2020 and in line with the WIPO Good Practice Toolkit for CMOs, while reassuring members and rights holders that their interests remain its top priority.