1. One Client now with us was previously with another HR Agency.
They terminated the contract due to the complaint of the employee benefit scheme poorly managed. As a result, the client’s employees were not getting quarterly and monthly statements. After we took over, we discovered the Agency had not remitted both the employer’s and employee’s contributions to the pension fund for 6 months over two years.
We discovered that the former agency would under declare employee salaries thus paying a lesser tax. If the employees needed a tax clearance certificate someday, for example, to get a job with the government, they would not be able to get the clearance, notwithstanding the employer is legally responsible for deducing and remitting income tax.
2. We are currently helping another Indian client (they have a local branch registered as Ails Engineering Consulting Company) formalize the residence of one of the expatriate in Kenya
They thought the fees charged by most Kenyan HR agencies for work permit processing was too high so they got a broker (an individual with no registered business) who promised he has good contacts at immigration office. They sent him the funds for work permit and alien pass (residence pass) but the guy got back work permits printed in the back streets illegally.
When the employees tried to apply for resident pass with the fake work permits they were arrested for working in Kenya illegally charged and imprisoned. We have gotten them out on bail after filling an appeal and the immigration department has agreed to allow them apply for work permits and support the appeal proper work permits issued after we adduced evidence the client sent funds to a Kenyan to process the work permits.
3. In Tanzania another Client
paid an HR agency to process a work permit. The agency got Business Visas for the three expatriates allowing them to work in the country for three months but did not file applications for work permits.
When the VISAs expired without being renewed, the expatriates were deported and the Agency had closed their office.