Kenya’s ad hoc committee investigating the Worldcoin matter has revealed shocking allegations that the company’s actions have constituted acts of espionage and pose a threat to the statehood of the country. This revelation has sent shockwaves through the nation and raised significant concerns about the protection of privacy and the adherence to Kenyan laws. The committee, led by Narok West MP Gabriel Tongoyo, has called for a thorough investigation into two associated foreign companies, Tools for Humanity (TFH) Corp and Tools for Humanity (TFH) GmbH, for their alleged illegal operations in Kenya. These revelations have shed light on the urgent need for comprehensive legislation and oversight in the rapidly evolving digital economy to ensure the protection of Kenyan citizens’ rights and data.
The Allegations and Violations
The ad hoc committee’s investigations were prompted by public concern over Worldcoin’s questionable activities, particularly its purported scanning of Kenyans’ irises in exchange for cryptocurrency tokens. Worldcoin operated in 30 locations across Nairobi, including malls and learning institutions, starting in May 2021. The investigation further revealed that Worldcoin, TFH Corp, and TFH GmbH failed to comply with several Kenyan laws, including the Data Protection Act, Consumer Protection Act, and Computer Misuse and Cybercrimes Act. Shockingly, neither company appears in the Business Registration Services database, raising serious doubts about their legal authorization to operate in Kenya.
Moreover, Worldcoin’s belated application for registration as a data controller, a year after commencing its activities in the country, goes against the provisions of the Data Protection Act of 2019. Kenyan authorities argue that this violation demonstrates Worldcoin’s disregard for the privacy and rights of Kenyan citizens. Additionally, uncertainties surround the secure storage and the potential retraction and deletion of the collected personal data. The transfer of this data outside of Kenya raises concerns about compliance with Section 48 of the Data Protection Act.
The Implications and Recommendations
The investigation revealed that approximately 350,000 Kenyans had registered with Worldcoin before the government suspended its activities on August 2, 2023. This staggering number underscores the urgent need for stronger legislation and oversight in Kenya’s digital economy. The clear lack of regulation and oversight has allowed companies like Worldcoin to operate unchecked, jeopardizing the privacy and rights of Kenyan citizens.
Kenya’s National Assembly members have strongly criticized Eliud Owalo, the Information, Communication, and the Digital Economy Cabinet Secretary, for providing misleading information about Worldcoin’s operations in Kenya. Owalo’s inconsistent statements during the committee’s proceedings have led to accusations of misleading the public. To address these concerns, parliament is urged to harmonize laws governing the burgeoning cryptocurrency regime, ensuring transparency, and clarity in regulatory oversight.
The committee has recommended legislative intervention to regulate the collection of biodata, citing potential implications on privacy, security, health concerns, and human rights. Members of the National Assembly are pushing for amendments to the law to grant the Office of the Data Protection Commission (ODPC) more discretion in imposing administrative fines. This move would align the Data Protection Act with global standards and strengthen the enforcement of data protection measures.
Furthermore, proposals are underway to establish a board to oversee the daily operations of the Commissioner, ensuring stricter compliance with data protection matters. The committee also recommends imposing stringent requirements for foreign companies seeking registration as data processors or controllers in Kenya. These requirements include providing proof of registration with local regulatory bodies and full disclosure regarding the utilization and storage of collected personal and sensitive data.
The Worldcoin controversy has brought to light crucial issues surrounding privacy, data protection, and the need for robust legislation and oversight in Kenya’s digital economy. The alleged illegal activities and violations committed by Worldcoin, TFH Corp, and TFH GmbH have raised concerns about the protection of Kenyan citizens’ rights and data. Moving forward, it is essential for the Kenyan government to take immediate action in implementing comprehensive legislation and regulatory frameworks to safeguard the privacy and rights of its people. Only through strong regulations and oversight can Kenya build a digital economy that operates within the boundaries of the law and respects the fundamental rights of its citizens.