The Embu County Council plans to borrow sh5.9 million to settle a debt owed to the Kenya Local Government Workers Union.

A full council meeting approved the loan sh20.5 million in development funds from Local Authority Transfer Fund (LATF).

But, a ministerial approval is needed before the council can approach the bankers.

Council Clerk Samuel Kibaara and chairman Harrison Mugendi say LATF fund is needed to finance development plan 2010/2011 that aims at improving markets, rural roads among other projects.

The LATF requires councils to clear their outstanding debts before it can release any money to them.

The council owes National Social Security Fund, National Hospital Insurance Fund, Kenya Revenue Authority and workers’ union. Most of its interest from unremitted workers’ deductions dating back to the 1980s.

They said they intend to offset the loan from revenues and dues from their debtors like Kenya Planters Cooperative Union (KPCU), Nyayo Tea Zones Co-operation and Central Government.

During the meeting the Chairman of the powerful Finance, Staff and General Purposes committee councilor Anselimo Kathuri was sacked and replaced by Councillor Paul Ng’ura.

Councillor Lucy wanja retained her seat as chairperson of Audit Committee after beating councilor Jason Ireri by 7 votes to six. In Education, housing and social services and environment committees, councilor Emilio Mwaniki and Councillor Madeline Muringo were elected unopposed, while councilor Paul Njuki beat councilor Selesious Ireri to claim the Works, Town Planning and Markets Committee, Emilio Mwaniki will lead the HIV/Aids Committee.

Meanwhile Embu Municipal Council has resolved to retain old officials to its committees. Addressing councilors at the elections, Mayor Agatha Muthoni hailed them for the show of maturity and unity.