CMC Motors Group has announced a new, far-reaching structural and cost-reduction strategy aimed at fast-tracking growth and boosting profitability in the company.

The key to this strategy, announced by the largest automotive distributors in East Africa, is a renewed commitment to quality and customer service.

Chief Executive William Lay said the operational changes include re-organisation of management structures and procurement policies, which will increase efficiency, optimise financial performance, and ensure compliance with local and international standards of corporate governance.

Assembling the vehicles in Kenya would lower the duty paid for imported vehicles, which would also reduce their overall cost per unit in the country making it more affordable.

Minority shareholders of troubled motor dealer CMC want the capital markets regulator to file the forensic audit report on alleged fraudulent transactions at the company with the court.

When retired president Daniel arap Moi’s Range Rover was stolen from CMC’s industrial Area premises in 2008, the then chief executive of the motor dealing company, Martin Forster, filed a compensation claim with APA Insurance. When retired president Daniel arap Moi’s Range Rover was stolen from CMC’s industrial Area premises in 2008, the then chief executive of the motor dealing company, Martin Forster, filed a compensation claim with APA Insurance.

A judge on Wednesday cancelled an extraordinary general meeting for CMC shareholders called by the ousted chairman, Mr Peter Wambua Muthoka.

A sales agent, whose contract CMC managing director Bill Lay signed on his first day in office, was the flame that sparked the wars in the motor dealer’s boardroom. Hired in June without the knowledge of the board, the agent has received millions of shillings in inflated and back-dated commission payments that offer fresh insights into how the troubled company may be losing money to its associates.

Why would a wealthy man who owns major shares in CMC risk so much for such small amounts?

Mr Paul Wanderi Ndung’u, Mr Joel Kamau Kibe and Mr Peter Muthoka have been at the centre of CMC boardroom battles, representing a new order taking over from the old guards

When Mr Muthoka became the chair of the board in April after the long serving chairman Jeremiah Kiereini was ousted in a boardroom coup, the winds of change were sweeping over, it seemed.

The current boardroom spat at the motor dealer, CMC, is a pointer of a bigger problem afflicting public and private corporations….

Ahead of its unveiling at the 2011 Tokyo Motor Show at the end of the month, the first pictures and details of the Advanced Tourer Concept have been revealed…