Tusky supermarkets closing their stores due to financial problems
Tuskys supermarket financial distress depicted in shelves. FILE

Tuskys Supermarkets accused of delaying and reducing payments to suppliers, banks and landlords, citing insufficient money flows due to the virus impact.

The stores' management writes a letter to suppliers, notifying them that even recently decided payment may not be honoured on time.

Tuskys has criticized state measures like social distancing and reduced operating hours that causes lower traffic to its stores. 

The Supermarket has closed some branches and merged others in a move to curb losses at a particular store level. 

 "Despite these efforts, some supplier commitments may be postponed and therefore some of your members have been impacted," Tuskys chief executive Dan Githua wrote to Kimani Rugendo, chairman of Association of Kenya Suppliers, in an April 30, 2020 letter. 

 "We have communicated individually to these suppliers that their payments will be delayed." 

The Competition Authority of Kenya is expected to stumble into retailers’ move to delay payments to suppliers by confirming their financial distress. 

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