KAMP protests copyright board's 90-day license suspension decision

The Kenya Copyright Board (KECOBO) has suspended the operating license of Kamp Copyright & Related Rights Ltd (KAMP), the company that collects copyright royalties on behalf of artists and audiovisual producers, for a period of 90 days. This decision was made after it was determined that the company was continuously violating the Copyright Act, Collective Management Regulations, and licensing conditions. KECOBO announced that it conducted a comprehensive audit of KAMP regarding governance, financial management, licensing practices, and rights management, finding serious deficiencies. The Board also stated that the company failed to comply with legal audit directives and did not fulfill its audit responsibilities. The said suspension officially went into effect on 1 July.

KAMP strongly rejects the allegations of misappropriation of funds directed at it by KECOBO. The company stated that it is extremely concerning to learn of such a serious accusation initially through a public notice. KAMP officials emphasized that in various correspondences with KECOBO, they were never held accountable regarding these funds. The company expressed that they find it unjust to reach such a decision without presenting any evidence to them and without granting the right to a defense. They argued that this situation would undermine inter-institutional trust in protecting the rights of copyright holders.

Stating that they are making efforts to increase transparency and accountability, KAMP announced that they signed a service level agreement with eCitizen for the collection of copyright royalties. The company stated that this step aims to digitize the revenue stream, making it more traceable. Furthermore, to protect the interests of copyright holders and other stakeholders, they reported requesting concrete evidence from KECOBO underlying the allegations directed at them. KAMP added that they are always ready for a constructive dialogue on the matter and wish to address the issue in a solution-oriented manner. The company argued that these steps are an indication of their commitment to raising corporate governance standards.

KAMP claims that it has already responded to the governance concerns raised by KECOBO in May of this year and has taken the necessary corrective steps. The company's management stated that it reviewed its internal processes and made improvements in line with the regulatory body's expectations. However, despite this, they expressed that the suspension of their licenses surprised and victimized them. KAMP emphasized that KECOBO did not grant them a fair hearing during the decision-making phase, even though they explicitly requested it. The company announced that it is evaluating legal processes and plans to make all necessary applications to protect its rights.

This incident has brought back to the agenda the ongoing debates regarding the auditing of collective management organizations (CMOs) in Kenya and how artists' copyright royalties are managed. This step taken by KECOBO shows how seriously the demands for transparency and accountability in the copyright system are taken. KAMP's defense reveals the flaws in the communication and auditing processes between the regulatory body and copyright collectors. At the point of protecting artists' rights, which is the ultimate goal of both institutions, how this dispute will be resolved is closely monitored by industry representatives. Kenya's creative industries have begun waiting to see whether stricter rules will be applied to the management and fund distribution of similar organizations.