Kenya Insights

Author: Kenya Insights Team

  • Sudan Suspends All Imports from Kenya Over RSF Support

    Sudan Suspends All Imports from Kenya Over RSF Support

    Sudan’s Ministry of Trade & Supply has imposed an immediate ban on all imports from Kenya, citing national security concerns over Kenya’s alleged support for the Rapid Support Forces (RSF), a Sudanese paramilitary group accused of attempting to establish an illegal parallel government.

    The announcement made through a circular seen by Kenya Insights from Sudan’s trade ministry ordered an immediate implementation.

    “The import of all products coming from Kenya through all ports, crossings, airports, and ports will be suspended as of this day until further notice,” the directive signed by acting Trade Minister Omar Ahmed Mohamed reads.

    The decision follows a controversial meeting hosted in Nairobi on February 18, 2025, where the RSF and its allies signed a political charter to form a rival government, a move Sudan views as a direct threat to its sovereignty.

    Sudan’s Foreign Ministry Undersecretary Hussein al-Amin labeled Kenya a “rogue state” and accused it of undermining Sudan’s stability amid its ongoing civil war, which has pitted the Sudanese Armed Forces (SAF) against the RSF since April 2023.

    “We will not tolerate external interference that seeks to impose an unlawful political reality,” al-Amin said in a statement. “This economic measure sends a clear message to Kenya and others who support destabilizing forces.” He forewarned.

    International Condemnation

    The international community swiftly condemned Kenya’s actions. The United Nations Security Council has expressed concern over threats to Sudan’s unity, while UN Secretary-General António Guterres warned on February 24 that the RSF’s charter risks deepening the crisis and destabilizing the region.

    Saudi Arabia, Qatar, Egypt, Jordan, Kuwait, Somalia, the United Kingdom, the United States, and the African Union also issued statements supporting Sudan’s territorial integrity and denouncing attempts to legitimize militia-controlled governance.

    “Such escalations pose a serious threat to peace efforts,” Guterres’ spokesperson said, echoing broader fears of renewed conflict in the Horn of Africa.

    Kenya’s Internal Backlash

    In Kenya, President William Ruto’s administration has faced mounting criticism for hosting the RSF. Opposition leaders, civil society groups, and the Kenya Human Rights Commission (KHRC) have called the move “disgraceful,” accusing the government of complicity in RSF atrocities, including war crimes documented in Darfur.

    Critics warn that Sudan’s import ban is going to hit Kenya’s economy hard, particularly its tea exports, a key trade staple with Sudan.

    Foreign Affairs Cabinet Secretary Musalia Mudavadi defended Kenya’s stance, arguing that the Nairobi meeting was a nonpartisan effort rooted in the country’s history of mediating Sudanese conflicts.

    “Kenya remains committed to peace,” Mudavadi said on February 25.

    However, Sudan’s recall of its ambassador and now the trade suspension have intensified diplomatic fallout.

    Economic and Regional Stakes

    The import ban is likely disrupt significant trade flows. Sudan ranks among Kenya’s top tea importers, while Kenya supplies Sudan with other goods critical to its economy. Sudan may also face domestic shortages, given its reliance on imports amid ongoing conflict.

    The RSF, evolved from the Janjaweed militias, remains a polarizing force. Though Sudan labels it a “terrorist militia,” no formal international designation exists, complicating the narrative.

    The U.S. has sanctioned RSF commanders for war crimes, but stopped short of a terrorist label, reflecting the delicate balance of diplomacy in the region.

    Sudan continues to urge the international community to take a firm stance against Kenya’s actions, warning of broader instability in East Africa, a region already strained by conflicts in South Sudan and Somalia.

  • Geoffrey Monari Appointed As New HELB CEO

    Geoffrey Monari Appointed As New HELB CEO

    The Higher Education Loans Board (HELB) has appointed Geoffrey Monari as its new Chief Executive Officer (CEO), effective March 13, 2025.

    Monari brings over 15 years of experience in senior management within the higher education financing sector.

    Prior to this appointment, he served as the founding CEO of the Universities Fund since 2020, where he played a key role in shaping university financing policies and frameworks.

    His leadership journey at HELB is not new; between 2016 and 2020, Monari served as the Chief Operations Officer (COO), spearheading transformative initiatives in student lending, debt management, resource mobilization and stakeholder engagement.

    His efforts contributed significantly to strengthening HELB’s financial sustainability and enhancing partnerships.

    He holds a Master of Business Administration and a Bachelor of Commerce degree, alongside a Senior Management Leadership Programme certificate.

    Currently, he is pursuing the Global CEO Africa Programme at Strathmore Business School.

    The HELB Board expressed confidence in Monari’s leadership, citing his expertise and strategic vision as instrumental in advancing the institution’s mandate.

    “Monari’s vast experience, leadership acumen, and deep understanding of higher education financing will provide the vision necessary to propel HELB to new heights, ensuring that we continue serving our stakeholders with excellence and integrity,” the Board stated.

    Monari’s appointment comes at a crucial time as HELB seeks to enhance access to education financing, streamline loan disbursement and reinforce repayment structures to support sustainable funding for students across the country.

  • All Kenyans to Start Receiving ID Cards Free of Charge, Ruto Announces

    All Kenyans to Start Receiving ID Cards Free of Charge, Ruto Announces

    President William Ruto has announced that all Kenyans will receive their ID Cards free of charge.

    Speaking during the fourth day of his Nairobi tour, the head of state warned that there should not be any form of discrimination in the process.

    President Ruto emphasized the importance of equal access to identification documents, saying no Kenyan should be denied an ID or forced to pay for it.

    “Issues of discrimination in matters of identity card issuance are something we must do away with. Every Kenyan should be given an identity card,” he said.

    The president further declared that Kenyans should no longer be required to pay for their ID cards, a change aimed at making the process more accessible to all.

    “I would like to announce today while I am in Kibra that identity card issuance should be done without any form of payment,” he stated.

    His sentiments come amid concerns over rising costs for acquiring and replacing national IDs, which have sparked public outcry.

    In November 2023, the government, through a gazette notice, announced new charges, raising the cost of replacing lost or damaged IDs from Sh100 to Sh1,000.

    Although the proposed increase for first-time applicants to Sh1,000 was later revised, new applicants must still pay Sh300, a move that has drawn criticism from leaders and civil rights groups.

    The move reverses a policy that saw Kenyans pay to access this crucial document.

    Historically, Kenya introduced identity cards in 1979 to enhance national security and streamline citizen identification.

    Initially, the process was free, ensuring that all citizens could access this crucial document. However, over time, fees were introduced, making it harder for some Kenyans, particularly from marginalized communities, to obtain IDs.

    The President’s declaration signals a potential policy shift that could see a return to free issuance of IDs for first-time applicants, addressing concerns over exclusion and ensuring all Kenyans can access essential government services.

  • Fraudster’s Shadows: How Wanjiku Boro Keeps Changing Identities and Evading Justice

    Fraudster’s Shadows: How Wanjiku Boro Keeps Changing Identities and Evading Justice

    Teresia Wanjiku Boru, also known as Beatrice Gathoni Boro, is a name that has become synonymous with high-stakes fraud in Kenya.

    Her latest arrest on Wednesday, alongside accomplice Hosea Munge Mbugu, for allegedly defrauding five businessmen of Sh22.4 million, is just the latest chapter in a long history of cons that have left a trail of victims and unanswered questions.

    What makes Wanjiku’s case particularly alarming is not just the scale of her schemes but the ease with which she seems to evade justice.

    Wanjiku during her latest arrest.

    A closer look at her modus operandi reveals a pattern of identity changes, fake tenders, and a network of accomplices that suggest she may be more than just a lone wolf.

    Could she be a proxy for powerful figures within the government, shielded by those in high places?

    A Pattern of Deception

    Wanjiku’s criminal career dates back to at least 2017, when she was first charged in Thika for defrauding a victim of Sh15 million in a fake food supply deal to a refugee camp.

    At the time, she went by the name Beatrice Gathoni Boro. After being released on a Sh1 million bond, she vanished, leaving behind a warrant for her arrest.

    Fast forward to 2024, and Wanjiku has resurfaced under a new alias, Teresia Wanjiku Boru, with a similar scheme. This time, she and her accomplice, Hosea Munge, allegedly convinced five businessmen to invest in a non-existent World Food Program tender to supply edible oil to Kakuma Refugee Camp.

    Hosea Munga.

    The elaborate con included a trip to Eldoret, where the victims met individuals posing as WFP officials and signed a fake agreement.

    The similarities between the 2017 and 2024 cases are striking: both involved fake tenders, refugee camp supply deals, and the promise of lucrative returns. What’s more, Wanjiku’s ability to repeatedly evade arrest and assume new identities raises serious questions about the systems meant to hold her accountable.

    –The Shadow of State Protection–

    Wanjiku’s repeated escapes from justice have led to speculation that she may be operating under the protection of senior government officials.

    This theory is not without merit.

    In Kenya, there is a well-documented history of corrupt state officials using proxies to fleece unsuspecting citizens while remaining untouchable themselves.

    The fact that Wanjiku has been able to jump bail, change identities, and continue her fraudulent activities with impunity suggests that she may be part of a larger network.

    Her schemes often involve impersonating government officials or leveraging fake government tenders, which would require insider knowledge and connections.

    Could Wanjiku be a pawn in a much larger game, orchestrated by powerful figures who benefit from her crimes?

    Her ability to operate across multiple counties, evade arrest, and access resources to execute such elaborate cons points to a level of sophistication that goes beyond the capabilities of an ordinary fraudster.

    Wanjiku’s case is emblematic of a broader crisis in Kenya’s fight against corruption. Despite the efforts of the Directorate of Criminal Investigations (DCI) and other law enforcement agencies, high-profile fraudsters continue to operate with alarming ease.

    The lack of stringent bail conditions, weak enforcement of arrest warrants, and the slow pace of the judicial system all contribute to a culture of impunity.

    In Wanjiku’s latest arrest, she was denied bond due to an outstanding warrant, but her accomplice, Hosea Munge, was granted bail. This raises concerns about whether the courts are doing enough to deter repeat offenders.

  • Death by Suicide of Insurance CEO Reveals Details of Murky Sh286M KPC Tender Scandal

    Death by Suicide of Insurance CEO Reveals Details of Murky Sh286M KPC Tender Scandal

    The tragic suicide of Sammy Methu Kiragu, Chief Executive Officer of Sedgwick Insurance Brokers, has unveiled a scandal involving a controversial tender at the Kenya Pipeline Company (KPC).

    Kiragu leapt to his death from the seventh floor of his office at 4th Avenue Towers on Tuesday, March 11, 2025, just a day before he was scheduled to face Directorate of Criminal Investigations (DCI) detectives over allegations of fraud and collusion tied to a lucrative insurance brokerage contract.

    His death has sparked widespread speculation and drawn attention to the questionable dealings surrounding the KPC tender process.

    The tender in question, No. KPC/UOT-298/FIN/NBI/22-23, sought insurance brokerage services for KPC from July 1, 2023, to June 30, 2025. Sedgwick Insurance Brokers (SIB) and UAP Old Mutual General Insurance Ltd became the focus of a DCI probe into allegations of premium manipulation and violations of the Insurance Act.

    Sources close to the investigation revealed that Kiragu, overwhelmed by the mounting pressure, had sought help to halt the inquiry into his company’s actions.

    A letter dated February 18, 2025, written by Daniel Kandie, former head of the Insurance Fraud Investigation Unit (IFIU), detailed evidence of prior arrangements between Sedgwick and UAP Old Mutual to adjust premiums to a suspiciously precise figure of KES 286,763,349 (approximately $1,911,755.66)—allegedly to align with market rates after securing the tender.
    letter summoned UAP to nominate a representative for questioning on February 21, while Sedgwick officials, including Kiragu, were ordered to appear before the IFIU on March 12—the day after his fatal plunge.

    The tender process was a complex web of bids, evaluations, and legal disputes.

    On March 28, 2023, KPC advertised the contract in local dailies, attracting bids from 31 firms, including Sedgwick and Four M Insurance Brokers Limited.

    After preliminary and technical evaluations, Sedgwick emerged as the lowest bidder and was notified of its success on June 7, 2023.

    By June 21, KPC formally awarded Sedgwick three insurance policies, which the company accepted five days later.

    However, the situation took a dramatic turn when Sedgwick submitted confirmation of cover from Old Mutual General Insurance Kenya Limited on September 7, 2023, only for KPC to abruptly award the tender to Four M that same day, with a contract signed on October 2.

    Sedgwick appealed to the Public Procurement Administrative Review Board (PPARB), which nullified Four M’s award on November 2, 2023. Four M retaliated with a judicial review application (No. E121 of 2023) in Nairobi’s High Court, which ruled against Sedgwick.

    The court found that Sedgwick’s bid was illegal under Section 20 of the Insurance Act, as its lead underwriter, Swiss Reinsurance, was an international firm unregistered in Kenya.

    Additionally, Swiss Reinsurance had quoted coverage costs of KES 335,555,850 (approximately $2,237,039) for FY 2023/24 and KES 380,337,450 (approximately $2,535,583) for FY 2024/25—far exceeding Sedgwick’s bid—exposing the company’s inability to deliver at the promised price.

    The High Court accused Sedgwick of attempting to adjust its bid post-award, a move deemed unlawful, and upheld Four M’s contract with KPC.

    The DCI’s investigation, logged under Inquiry File No. 185/2024, had already questioned UAP senior officials, tightening the noose around Sedgwick.

    Kiragu’s leap from the seventh floor—despite the company’s offices being on the 14th—suggests a man cornered by the weight of impending accountability.

    Witnesses reported that he took a lift to the seventh floor before jumping, a deliberate act that ended his life on the spot and left his staff in shock.

    Sedgwick, a firm with a 40-year legacy serving high-profile clients—including airlines, energy providers, and financial institutions—now faces intense scrutiny over its integrity.

    The tender saga raises troubling questions about collusion, capacity, and the shadowy underbelly of Kenya’s procurement system.

    Was Kiragu’s death a desperate escape from justice, or a symptom of deeper rot within the insurance and public sectors?

    As the DCI digs further, the answers may reveal just how dirty this deal—and others like it—truly are.

    For now, Kiragu’s final act has ensured that the KPC tender scandal will not be buried with him.

  • Nairobi Man Demands Sh20 Million from EABL Over Unauthorized Use of His Image in Beer Ads

    Nairobi Man Demands Sh20 Million from EABL Over Unauthorized Use of His Image in Beer Ads

    A Nairobi resident has sued East African Breweries ltd (EABL) demanding Sh.20 million compensation for using his image to promote its products.

    Samuel Mburu Maina accuses the beer maker of infringing on his intellectual property rights, and personality rights, when they published his image to advertise and market alcoholic drinks without his authority on social media platforms- Facebook and X.

    He further accuses EABL and KBL of exploitation and appropriation of his photographs which according to him resulted in them receiving commercial or monetary benefit, brand, and reputational growth in the public domain.

    “This court to declare am entitled to the payment of damages and compensation quantified at Sh. 20,000,000 for the violations and contraventions of his fundamental rights and freedoms under the Constitutional provisions basically arising from the publication of my image and likeness without my consent by Kenya Breweries ltd and East African Breweries ltd for their commercial gain and defaming my reputation,” Mburu said.

    In documents filed in court, Mburu wants the court to compel the beer maker to pull down his images from its social media platforms, promotional campaigns, and any platform within their control.

    He further want High Court to issue permanent injunction restraining KBL and EABL from publishing or using his image or likeness in any advertisement or promotion without his consent and.

    “This Court declare that the publication of his image in the aforementioned social media platforms (Facebook and X-twitter) was defamatory and injured my reputation,” pleads with the court.

    Mburu stated that the publication has caused him mental anguish and anxiety, since the company continued to accrue benefits to his detriment.

    He claimed that he has since lost his standing with their relatives, friends and business partners who have questioned his virtues.
    He claimed that he was shown by friends and relatives a post on Facebook on or about 26th January 2023.

    The post by an account operated as Rockshore TropicalKE, in which post the said brand identity was running a looping video set to a musical score of a photograph of him, in isolation, looking at a bottle affirmatively.

    He said above the said photograph was a caption, “the beer that brings flava when hanging out with your squad #rockthatflava.”
    He pointed out that the publication has since garnered 314,000 views, 8,900 likes, and the figures continue to rise.

    On the same day, he wrote to Rockshore Tropical Beer through Facebook’s Messenger service, requesting that the publication of his photograph on their Facebook page be taken down within 24 hrs, as he had not consented to the use of his photograph for marketing purposes by the company.

    Additionally, on 27th January 2023, the said video was similarly posted on X, by the Twitter handle @RockshoreKE.
    Mburu said up to date, he is yet to receive a reply or acknowledgment of his complaint with regard to the advertising campaign and the publications are still openly viewable on the said social media platforms.

    He argues that Rockshore Tropical Beer is a brand and product of Kenya Breweries Limited.

    He consequently, wrote a demand letter dated 3rd February 2023 to the company notifying the company of the Constitutional violations caused on him by the post, and demanded it be taken down within seven days.
    Mburu also sought an apology for using his photograph for commercial benefit without his consent.
    In response, KBL stated that there were disclaimer notices displayed in the venue where his photo was taken and that his participation in the event amounted to consent.

    Mburu, however, said he did not see the notices or unequivocally and freely consented to the implied waiver. Additionally, he contended that his message of disapproval to KBL on 26th January 2023 and the letter dated 3rd February 2023, was enough demonstration that any consent implied was withdrawn, which withdrawal is provided for under the Data Protection Act.

  • How Rogue Businessman Mohamed Osman Abdille Defrauded Sh296M From a City Businessman

    How Rogue Businessman Mohamed Osman Abdille Defrauded Sh296M From a City Businessman

    A rogue businessman has been arraigned at a Makadara Court for defrauding another businessman Sh296M contrary to the law.

    Mohamed Osman Abdille was arraigned before Senior Principal Magistrate Joseph Karanja where the matter came up for bond ruling.

    The court was informed that the accused person committed the offence on diverse dates between January 1, 2018 to September 30, 2024 at a Mega shopping Mall in Easleigh in Starehe Sub-County within Nairobi County.

    He alledgly with others not before the court defrauded Abdi Mohammed Ali the said amount contrary to the law.

    He was charged with another count of stealing by Servant where he stole the said amounts contrary to the law.

    On another count, the accused person was charged with engaging in organized criminal activities contrary to the law.

    Osman appeared in court draped in a scarf to conceal his identity, he was curved by the court to reveal his face.

    The court heard that on the same date as outlined above, the accused person with others not before the court acted in concert in commission of a serious offence namely stealing by servant for purpose of obtaining financial debt.

    He denied the charges and the prosecution through learned counsel Allan Lumumba Mogere urged the court to grant him a tough bond on the ground that he was a flight risk.

    The magistrate granted him a bond of Sh5Million with an alternative Cash bail of Sh2M with the surety of the same amount.

    The Magistrate further directed that the accused person reports to the DCI after every seven days until a later date where the court will give further instructions.

    The court further directed that the accused person deposits his passport in courts.

    The matter will be mentioned Further next year.

  • Police Sacco Directors Under Investigation For Theft

    Police Sacco Directors Under Investigation For Theft

    The High Court has ordered a new investigation into the Kenya National Police Sacco (NPS DT Sacco) due to allegations of embezzlement and fraud committed by its board of directors.

    Justice Alexander Muteti ruled that the Sacco Societies Fraud Investigations Unit (SSFIU) should handle the probe, overriding previous orders that had granted the Directorate of Criminal Investigations (DCI) authority to investigate the case.

    The ruling came after a review of an earlier order issued in January 2025, which had authorized the DCI to investigate the Sacco’s financial activities.

    The Sacco filed an urgent application seeking to stop the DCI from proceeding with the investigation, arguing that the DCI’s involvement was outside its legal jurisdiction.

    Through its lawyer, Cecil Miller, the Sacco sought orders to restrain the DCI from arresting or charging any board members and from continuing the investigation.

    The Sacco also requested the court to block the DCI from accessing certain documents, including board records and tender information.

    Miller emphasized that investigations into SACCOs should be handled by the SSFIU, a specialized unit under the Sacco Societies Regulatory Authority (SASRA).

    “The law is clear the SSFIU is mandated to investigate fraud in SACCOs. The DCI’s involvement in this matter risks damaging the Sacco’s operations and its members’ interests,” Miller argued in court.

    In January 2025, the DCI, through investigating officer Inspector Duncan Maina, obtained a court warrant to seize Sacco records, including documents related to procurement, tenders, and audits from 2019 to 2024.

    The Sacco argued that the DCI’s investigation violated the Sacco Societies Act, which outlines specific procedures for overseeing SACCOs.

    Web of deceit

    According to sources close to the matter, National Chairman David Sohelo Mategwa has been accused of employing obstructive tactics in concealing alleged theft by hindering investigators’ progress.

    David Mategwa.

    It is alleged that Mategwa bribed Commissioner of Cooperatives David Obonyo.

    Furthermore, there are allegations that the individual compromised SASRA by paying bribes to CEO Peter Njuguna and PS Cooperatives Patrick Kilemi, who were instructed to overlook the substantial fraud within the society.

     

    In court documents, Sacco CEO Solomon Atsiaya stated that while the Sacco was not opposed to an investigation, it must be conducted in accordance with the law.

    “The directors of the Sacco are not opposed to investigations, but these investigations must be carried out by the correct body, the SSFIU, in line with the Sacco Societies Act,” Atsiaya said.

    Atsiaya also expressed concerns that the DCI’s actions could lead to panic among Sacco members and trigger a financial crisis.

    “If the DCI continues with this probe, it could lead to a ‘bank run,’ which would harm the Sacco and its members,” Atsiaya stated. 

    Justice Muteti agreed with the Sacco ruling that the DCI’s actions were outside its legal scope and ordered that the SSFIU take over the investigation.

  • CMA Warns Genghis Capital Amid Unmet Obligations, Asset Auction, and Mali MMF Saga

    CMA Warns Genghis Capital Amid Unmet Obligations, Asset Auction, and Mali MMF Saga

    The Capital Markets Authority (CMA) has moved to quell investor panic after rumors swirled that Genghis Capital Limited, one of Kenya’s prominent fund managers, had been placed under statutory management.

    In a March 11, 2025, statement, the CMA clarified that no such action had been taken but revealed that the firm faces urgent operational challenges, including unmet contractual obligations to a third party.

    This development comes amid a cascade of crises for Genghis: a bitter rift with Safaricom over the Mali Money Market Fund (MMF), a Sh355 million debt default triggering asset seizures, and a troubled historical legacy tied to the collapsed Chase Bank and political intrigue.

    Recent Troubles

    Genghis Capital’s woes escalated in January 2025 when South African businessman Auswell Mashaba instructed auctioneers to seize its office assets—including furniture, laptops, and printers—over a $2.74 million (Sh354.55 million) debt.

    Court documents reveal the debt originated from a 2017 loan of Sh293 million, which ballooned to Sh401.1 million with interest.

    Despite a 2021 consent agreement to repay in installments, Genghis breached terms, prompting Mashaba’s recovery bid.

    While CEO Edward Wachira assured investors that client funds in Genghis-managed portfolios (including the Mali and Hela Imara funds) remain safeguarded by independent trustees and custodians, the auction has stoked fears of broader instability.

    The CMA has since demanded a repayment plan from Genghis.

    The Mali MMF Saga

    The firm’s troubles intensified in 2024 amid a public fallout with Safaricom over the Mali MMF, a mobile-based investment product launched in 2019 to tap M-PESA’s 66 million users.

    The partnership soured after a July 2024 data breach exposed Mali users’ balances, prompting onboarding suspensions and technical overhauls.

    By December 2024, Safaricom unveiled Ziidi, a rival fund managed by Standard Investment Bank, ALA Capital, and Sanlam, sparking accusations of betrayal from Genghis.

    In a protest letter, Genghis accused Safaricom of breaching their 2020 agreement by refusing to launch Mali, migrating users to Ziidi without consent, and denying the partnership’s existence.

    Safaricom countered that Mali’s “rickety” platform necessitated delays and emphasized Ziidi as a separate product.

    The telco’s insistence on multiple fund managers for “risk diversification” hinted at deeper tensions, including alleged discomfort with Genghis’ political links to former President Moi’s family.

    Investor Panic

    By January 2025, Mali investors faced withdrawal delays amid Genghis’ debt crisis, triggering panic. Safaricom blamed “technical issues,” but users, fearing asset losses, flooded social media with complaints.

    Despite Genghis’ reassurances—noting Mali’s Sh3.1 billion assets are held by KCB Bank (trustee), SBM Bank (custodian), and audited by RSM Eastern Africa—trust eroded. Mali’s has 700,000+ investors.

    Chase Bank’s Shadow

    Genghis’ current woes echoes past crises. In 2016, Chase Bank’s collapse left Genghis—then a subsidiary—stranded with 80% of its deposits frozen.

    Directors, including former Chase executives, sold shares to new owners in a liquidity scramble.

    This ownership shift, however, drew scrutiny from the Kenya Deposit Insurance Corporation (KDIC), which in 2020 sued Genghis and subsidiary Boulevard Properties for allegedly aiding Chase’s looting. Genghis denied wrongdoing, citing post-2016 ownership changes.

    The Moi Family Factor

    Political undercurrents further complicate Genghis’ trajectory.

    In 2022, Alex Chesosi, an ally of Gideon Moi (son of former President Daniel arap Moi), became Genghis chairman.

    Though Chesosi resigned in 2023, sources claim top officials opposed Safaricom’s sole reliance on Genghis due to perceived Moi family ties—a friction point in President William Ruto’s administration.

    Safaricom’s pivot to Ziidi, partnered with Ruto-aligned entities, highlights this tension.

    Genghis, however, denies Moi ownership, attributing shares to MNW Nominees Ltd.

    Investor Implications: Separated Funds vs. Reputational Risk

    The CMA maintains that client funds in Mali and Hela Imara are legally segregated from Genghis’ assets, insulating them from the firm’s liabilities.

    Yet, reputational damage persists. Genghis’ equity trading rank has plummeted since its NSE heyday (7th largest in 2016), and the Safaricom rift risks ceding the lucrative mobile investment market to Ziidi.

    Genghis Capital stands at a crossroads.

    While the CMA’s intervention offers a regulatory lifeline, the firm must navigate debt repayment, legal battles, and restored investor trust.

  • ‪Controller of Budget Decries Underfunding Of Her Office, Warns Of Shutdown

    ‪Controller of Budget Decries Underfunding Of Her Office, Warns Of Shutdown

    The Controller of Budget (CoB), Margaret Nyakang’o, has warned that critical government oversight functions risk being crippled due to severe funding shortfalls.

    One of the most affected areas is the automation of financial oversight processes, a crucial step aimed at streamlining exchequer approvals and improving transparency in public fund management.

    The CoB had budgeted Sh50 million for the development and deployment of the Controller of Budget Management Information System (COBMIS) but received no funding.

    Speaking before the Senate Finance Committee, Nyakang’o highlighted that her office had requested Sh1.6 billion for the 2025/26 financial year, but the amount was slashed to Sh777.5 million in the Budget Policy Statement.

    Out of this, only Sh613.8 million has been allocated, leaving a shortfall of Sh579.3 million for key operations.

    “We budgeted Sh50 million for the automation system, but we received zero funding, so this again is not going to be possible. We can’t talk about automation with zero budget,” she stated.

    She noted that while 20 per cent of the withdrawal process automation had been achieved by December 2024, full implementation requires collaboration with multiple institutions, including the National Treasury and the Central Bank of Kenya (CBK).

    She emphasized that the CoB cannot automate its processes independently, as other entities involved in budget implementation must also digitize their systems.

    Despite the partial automation of national government requisitions, she revealed that the system remains underutilized and is only applied selectively.

    “Those who are sending us reports must also automate. The National Treasury must automate, and in the same process, the CBK must also automate. The implication here is that we hope by 2025/2026, when all parties come together, we will complete the automation system,” Nyakang’o noted.

    Underfunded Projects

    Beyond automation, other critical functions of the CoB remain underfunded, including personnel emoluments with a Sh182.8 million shortfall for a new staff grading structure.

    CoB also requires Sh61.1 million for public awareness campaigns on budget processes.

    It also projects Sh102 million for legislatiev reforms including amendments to the CoB Act, 2016, and the development of regulations to strengthen oversight, which has not been allocated.

    “Since I joined this office, I have never traveled outside the country. I have never gone anywhere, and this is my sixth year,” Nyakang’o said, stressing the funding hitch.

    The committee heard that the lack of funds has severely hindered the CoB’s ability to execute its constitutional mandate, particularly in ensuring prudent use of public resources across national and county governments.

    Members of the Senate Finance Committee expressed concern over the drastic budget cuts, warning that failure to fund the CoB adequately could weaken financial accountability and public expenditure oversight.

    Senators questioned whether the reduced allocations were deliberate attempts to stifle independent budget scrutiny.

    “We can’t have our young professionals, properly educated and qualified, being paid peanuts when they are supposed to work in this critical office. Whatever expenses you have with them, share with us so that we can support whatever you have requested,” said Kakamega Senator Bonnie Khalwale.

  • ‪Jaramogi Oginga Odinga Hospital In Kisumu Upgraded To National Teaching And Referral Facility, Nyong’o Thanks Ruto

    ‪Jaramogi Oginga Odinga Hospital In Kisumu Upgraded To National Teaching And Referral Facility, Nyong’o Thanks Ruto

    Kisumu County Governor Anyang’ Nyong’o has lauded President William Ruto and the cabinet for making the Jaramogi Oginga Odinga Teaching and Referral Hospital (JOOTRH), popularly known as Russia Hospital, a state corporation.

    Nyong’o, in a press statement issued on Tuesday, March 11, 2025, said that granting JOOTRH the new status will help the facility receive adequate resources to continue expanding its service delivery in the Lake Region and beyond.

    “I would like to extend my gratitude to President William Samoei Ruto and to the Cabinet for making Jaramogi Oginga Odinga Teaching and Referral Hospital a State Corporation. With its new status, JOOTRH will receive adequate resources to continue expanding its service delivery in the Lake Region and beyond,” Nyong’o stated.

    He further thanked the health facility’s leadership for undertaking various reforms that have helped improve service delivery in the institution.

    Nyong’o has also pledged to continue supporting and nurturing JOOTRH in the capacity-building needed for effective service delivery.

    JOOTRH Upgrade

    The cabinet on Tuesday, March 11, 2025, approved the elevation of Jaramogi Oginga Odinga Teaching and Referral Hospital (JOOTRH), popularly known as Russia Hospital, to a national teaching and referral facility.

    The cabinet meeting that was chaired by President William Ruto on Tuesday, March 11, 2025, at State House, Nairobi, also approved the establishment of JOOTRH as a state corporation.

    “President William Ruto chaired a Cabinet meeting at State House on Tuesday, where he updated members on the progress of key transformative infrastructure projects as the country advances its development agenda,” a communique from the Cabinet News read in part.

    The facility, which for the past few years has been struggling financially given the huge population it serves, will now be taken over by the national government to enhance service delivery.

    As of 2024, JOOTRH was running on own-source revenue, donor funds, and allocations from the County Government of Kisumu despite serving over 10 counties in the region and beyond.

    JOOTRH SAGA status

    Its elevation to a national teaching and referral facility and its establishment as a state corporation come months after it officially transitioned from a government department to a Semi-Autonomous Government Agency (SAGA).

    JOOTRH Chief Executive Officer (CEO) Richard Lesiyampe in September 2024 announced the SAGA status, noting that the health facility had started operating as a Level 6A facility, providing specialized care and services.

    Lesiyampe also outlined the hospital’s plans to expand its bed capacity to at least 760 beds, ensuring that it can meet the growing healthcare needs of the region.

    The gazette notice announcing the SAGA status highlighted JOOTRH’s significance as the oldest and most developed medical facility in the Nyanza region, serving a catchment population of over 10 million people. It had also approved the hospital to provide Level 6A hospital services, pending necessary statutory confirmations.

    As a parastatal, JOOTRH will now operate as a government entity handling referrals from within and outside Kisumu County, as it continues to play a vital role in training doctors, nurses, and other healthcare professionals in collaboration with institutions of higher learning.

  • Scottish Businessman Campbell Scott Lured to His Death by Notorious Gang Targeting Wealthy Tourists via Dating Apps

    Scottish Businessman Campbell Scott Lured to His Death by Notorious Gang Targeting Wealthy Tourists via Dating Apps

    Scottish businessman Campbell Scott fell victim to a notorious gang that preys on wealthy tourists and expatriates.

    Authorities believe the criminals used dating apps to lure Scott into a deadly trap, culminating in his brutal murder and the theft of Ksh 1.9 million (£12,000) from his accounts.

    Disappearance and Tragic Discovery

    Scott vanished in February 2025 after checking into a luxury hotel in Nairobi.

    His sudden disappearance prompted an intense search, but six days later, the search ended in tragedy. His body was discovered in Makongo Forest, Makueni County, nearly 60 miles from where he was last seen.

    Investigators quickly ruled out an accident, as evidence pointed overwhelmingly to foul play.

    Authorities linked Scott’s murder to an organized crime syndicate notorious for targeting foreigners.

    The gang’s modus operandi involves using dating apps such as Tinder and Facebook to ensnare victims.

    Female accomplices arrange romantic meetups, luring targets into ambushes where they are brutally tortured for financial information and, in some cases, murdered.

    Gang’s Deadly Tactics

    In Scott’s case, CCTV footage captured him leaving a bar in Westlands with an unidentified man, who investigators believe played a key role in the crime.

    Detectives traced Scott’s movements to Pipeline, where gang members allegedly held him hostage.

    They subjected him to horrific torture, including acid burns, to extract his bank details.

    After draining his accounts, they left his body with severe injuries, a grim testament to the gang’s brutality.

    Prime Suspect and Criminal History

    Police have identified Bernard, a known gang leader, as the prime suspect.

    Bernard has a lengthy criminal record, including orchestrating an attack on a Nairobi preacher in which the victim was stripped and robbed. He has also been charged in absentia for violent crimes against an Indian and a Turkish national.

    Authorities suspect Bernard’s gang has been operating for years.

    In October 2020, Bernard and his cousins robbed an Israeli national in Nairobi.

    Despite multiple arrests, he has repeatedly evaded justice, raising concerns about the effectiveness of law enforcement in tackling organized crime.

    Ongoing Investigations

    On March 7, the Directorate of Criminal Investigations (DCI) released images of three suspects, including Bernard, and appealed to the public for assistance in tracking them down. Detectives are working tirelessly to dismantle the gang and prevent further tragedies.

    This case has highlighted the dangers faced by wealthy tourists and expatriates in certain regions, as well as the growing use of dating apps by criminals to exploit unsuspecting victims. As investigations continue, authorities are urging the public to remain vigilant and report any suspicious activity.

  • Hormuud Telecom Imports Iranian LPG to Somalia

    Hormuud Telecom Imports Iranian LPG to Somalia

    Details have emerged of a shocking revelations concerning  Hormuud Telecom.

    Details in possession of Kenya Insights investigative team reveal that the giant telco is embroiled in shaddy corruption deals, bypassing safety standards and importing sub standard LPG.

    Hormuud Telecom imports Iranian LPG to Somalia, and Iran is sanctioned by the United States.

    Hormuud claims it was imported from Iraq, as vessel tracking data shows.

    The only exporter of LPG from Iraq, Basrah Gas Company, has denied that the vessel AL Diab II loaded LPG from Basrah Gas Company Qasr Terminal.

    There is difficulty in tracking vessels loading and shipping from Iran, making it easy for Hormuud Telecom to find a way to circumvent the sanctions and buy LPG cheaply from Iran, making colossal profits and providing lifeline support to Iran’s energy sector, and it has been happening for a while now.

    This could strain Somalia’s diplomatic relations with the U.S. and other international partners.

    Somalia’s government authorities like Customs,  and the Coast Guard have no say in determining LPG authencity whether it is illicitly sourced LPG or if it is substandard that could be hazardous to the users in Mogadishu and Somalia, there has been increased gas cylinder explosions in homes leading to fires and damage of properties.

    Attached is the letter from Basrah Gas Company in Iraq denying it was loaded from its terminal and the tracking route of the AL Diab II which is false and photos.

    [pdf-embedder url=”https://cms.kenyainsights.com/wp-content/uploads/2025/03/DOC-20250309-WA0002-Basra.pdf” title=”DOC-20250309-WA0002 Basra”]

  • CUE Flags 15 Universities Offering Bogus Courses In Kenya

    CUE Flags 15 Universities Offering Bogus Courses In Kenya

    The Commission for University Education (CUE) has flagged 15 universities for operating illegally in Kenya, warning students that degrees from these institutions will not be recognized for employment or further studies.

    The commission, in a notice released on Tuesday, published an updated list of 94 universities, revealing that only 79 are accredited to operate.

    The regulator also flagged 15 institutions for operating illegally, warning students against enrolling in unapproved degree programmes.

    Some of the listed illegal institution include Eldoret Bible College in Uasin Gishu, Al-Munawarrah College in Mombasa, Grace Life Bible College in Vihiga and Africa Theological Seminary in Kitale.

    Other listed colleges are Regions beyond Ministry Bible College in Thika, Baraton College in Kapsabet , Breakthrough Bible College in Nairobi, Theophillus Theological College in Kiambu and Word of Faith Bible College in Vihiga.

    CUE has flagged six universities as illegal including The Africa Talent University in Kisumu, Northwestern Christian University in Kakamega and Logos University in Kakamega.

    Others are Harvest Land University in Kisumu, Kenya Anglican University-Kanyuambora in Embu and The East African Nyeri University Bradegate International University-

    “The commission has established that these institutions are offering degrees without our approval,” CUE stated in the notice.

    CUE categorised the universities into public universities, private chartered universities, specialized public institutions, constituent colleges, and institutions with letters of interim authority.

    However, the commission raised concerns over the existence of institutions offering degrees without its approval.

    The list includes 31 public universities, among them some of Kenya’s most established institutions such as the University of Nairobi, Moi University, Kenyatta University, Egerton University, and Jomo Kenyatta University of Agriculture and Technology.

    These institutions have met all accreditation requirements and are authorized to offer degree programs.

    CUE also recognised 24 private chartered universities, including Strathmore University, Daystar University, United States International University, Kabarak University, and Mount Kenya University.

    These institutions have been fully accredited after meeting the necessary quality standards set by the regulator.

    Additionally, the commission approved two specialised public universities, the National Defence University-Kenya and the National Intelligence and Research University which focus on training in defense, security, and intelligence.

    Five public university constituent colleges have also been cleared to operate.

    These include Bomet University College, Turkana University College, Koitaleel Samoei University College, Mama Ngina University College, and Kenya Advanced Institute of Science and Technology.

    At the same time, CUE issued letters of interim authority to six institutions that are still undergoing the accreditation process.

    These include GRETSA University, Riara University, Pioneer International University, International Leadership University, and AMREF International University.

    CUE Chief Executive Officer Prof. Mike Kuria urged students to exercise caution when selecting universities and ensure they enrol only in institutions that meet the legal requirements.

    “Any institution operating as a university or degree-awarding entity without our approval is illegal,” he stated.

    Prof. Kuria also encouraged Kenyans to report any suspicious institutions to the commission through email or its customer feedback portal. He assured that all reports would be handled with confidentiality.

    To help students verify universities, CUE has provided online resources where they can check the accreditation status of institutions, academic programs, and degree qualifications. More details are available on the commission’s website and official communication channels.

    “Are you a high school student aspiring to join a university but unsure which academic programme to pursue? Visit the Commission for University Education website at http://cue.or.ke or click the link below to explore over 4,000 academic degree programmes offered by the 79 accredited universities in Kenya.”

  • Inside Dupoto Sh2.7B Land Fraud: Petition Exposes Senior Officials, Lawyers in Massive Scam

    Inside Dupoto Sh2.7B Land Fraud: Petition Exposes Senior Officials, Lawyers in Massive Scam

    A Kshs. 2.7 billion land compensation fraud has left the Dupoto/Dafur Welfare Settlement Scheme in Embakasi South devastated, with residents receiving a mere Kshs. 250,000 per family while senior state officials, lawyers, and proxies allegedly pocketed millions.

    A petition submitted to the Directorate of Criminal Investigations (DCI), the Ethics and Anti-Corruption Commission (EACC), and the Director of Public Prosecutions (DPP) on Monday exposes a web of corruption, naming Lands Principal Secretary Nixon Korir as the mastermind, alongside Narok South MP Sylvester Ntutu and Johnson & Partners LLP’s Mr. Johnson Osoi, who allegedly funneled Kshs. 170 million to his wife or mistress.

    The Dupoto community had called a 93-acre parcel home for over 30 years until December 2023, when armed police and bulldozers forcibly evicted them without notice.

    The land, acquired by the Kenya Railways Corporation (KRC), saw 38 acres mysteriously transferred to an anonymous entity.

    The Kshs. 2.75 billion compensation, disbursed on December 16, 2023, was meant to support the displaced, but the petition by Letangule & Co. Advocates reveals a shocking betrayal.

    A Web of Embezzlement

    The petition seen by Kenya Insights, details how the funds were siphoned: residents received less than Kshs. 250,000 per family, while the rest was shared among a network of beneficiaries. Key disbursements include:

    – Nick Ndenda & Associates: Kshs. 712,250,000
    – Moinket & Co. Advocates: Kshs. 155,000,000 (from Johnson & Partners LLP)
    – Kitilai Ole Ntutu (Sylvester Ntutu): Kshs. 250,000,000
    – Kemosi Mogaka & Co. Advocates: Kshs. 83,160,000 (from Sankale & Co.)
    – Wesley Kibet Mootek: Kshs. 50,000,000 (from Sankale & Co.)
    – T.K. Rutto & Co.: Kshs. 100,000,000 (from Sankale & Co.)
    – Kipkenda & Co. Advocates: Kshs. 181,000,000
    – Sankale & Co.: Withdrew Kshs. 80,000,000 in cash on December 19, 2023
    – Cheboi Ouma & Co. Advocates: Kshs. 189,000,000
    – Hashim & Lesaigor & Co.: Kshs. 189,000,000 (on December 18, 2023)

    The petition singles out Mr. Johnson Osoi of Johnson & Partners LLP, who replaced Letangule & Co. at the last minute—a move orchestrated by PS Korir.

    Osoi is accused of facilitating the embezzlement, paying Kshs. 170 million to his wife or mistress, and allowing trustee John Kiyian Karu to determine payments, leading to unfair distribution.

    “He received funds on behalf of the community and disbursed the same to the individuals listed above,” the petition states, demanding a thorough audit of his accounts.

    Power Plays

    PS Korir is named the “main architect,” having appointed Johnson & Partners LLP to control the funds, signed fake agreements, and siphoned over Kshs. 300 million through proxies.

    He allegedly pressured the community to withdraw their 2024 Environment and Lands Court case (ELC Petition 604 of 2024), a year after the title transfer to Aridi Sasa platform, delaying their justice.

    “It is quite notable that to date, approximately 1 year later the title that was produced is yet to be captured in Aridi Sasa platform,” the petition notes.

    MP Sylvester Ntutu, who received Kshs. 250 million despite not being a registered member of the Dupoto Settlement Welfare Scheme, faces scrutiny for alleged ties to the presidency.

    The petition claims he has been heard stating he has “direct instructions from the President to settle this matter,” raising questions about political interference.

    KRC is accused of disbursing funds to other lawyers despite knowing Letangule & Co. represented the community, thus facilitating the misuse of public funds.

    The forced eviction left residents destitute, relying on well-wishers and “vibaruas” to survive with their young families and school-going children. “We built our lives on that land, and now we’re on the streets while others count millions,” said a resident who requested anonymity.

    Lawyer Thomas Letangule echoed their frustration: “Since we withdrew our court case in 2024, we have not received any money. We’ve waited over a year with no solution.”

    On Monday, the community marched to DCI, EACC, and DPP, demanding criminal investigations.

    The petition poses pointed questions: How much did KRC pay, and to whom? What acreage does the unaccounted 38 acres occupy, and who is the registered owner? Why hasn’t the money been recovered?

    It warns that “the current regime is keen in fighting corruption, graft, embezzlement, theft, fraud, and misuse of public resources,” urging accountability.

    As of March 11, 2025, no updates have emerged from the agencies. Attempts to reach PS Korir, MP Ntutu, and Mr. Osoi for comment were unsuccessful. The Dupoto scandal exposes systemic corruption in Kenya’s land sector, where the powerful allegedly prey on the vulnerable. Will justice prevail for these displaced residents?

  • Big Blow To Standard Chartered Investors as Nairobi Court Upholds Sh30 Billion Pension Payout

    Big Blow To Standard Chartered Investors as Nairobi Court Upholds Sh30 Billion Pension Payout

    In a landmark ruling that delivers a seismic financial blow to Standard Chartered Bank Kenya, the Court of Appeal has dismissed the lender’s challenge against a directive to pay Sh30 billion (approximately $214 million) in recalculated pensions to 629 former employees, some of whom retired nearly five decades ago.

    The decision, favoring retirees in a decades-long battle, leaves investors bracing for significant financial repercussions and raises questions about the bank’s fiscal resilience.

    A three-judge bench comprising Justices Patrick Kiage, Lydiah Achode, and Weldon Korir upheld rulings by Kenya’s Retirement Benefits Tribunal (RBT) and the High Court, which found the bank and its pension fund trustees liable for recalculating benefits dating to 1975.

    The court rejected arguments that the RBT overstepped its jurisdiction, stating, “The learned judge did not err in rejecting the contention that the tribunal acted without jurisdiction.”

    The tribunal had ordered Standard Chartered to disclose lump-sum benefits, factor in cost-of-living adjustments, housing allowances, and future increases, and submit to oversight by Kenya’s Retirement Benefits Authority (RBA) within 60 days.

    The appellate judges emphasized that tribunals routinely direct trustees to compute benefits lawfully, calling the orders “lawful and consistent with decisional law.”

    Decades of Disputes
    The case traces back to a 1997 actuarial valuation revealing a Sh1.536 billion surplus in the pension fund. Retirees alleged the surplus was unlawfully refunded to the bank instead of improving member benefits—a condition tied to tax approvals.

    They also accused the bank of reducing lump-sum payments after converting the pension scheme to a defined contributory model in 1999, which slashed future benefit accruals.

    Pensioners initially sought Sh9 billion in unpaid benefits plus interest and a Sh1.1 billion refund of the surplus, totaling Sh5.79 billion.

    However, the tribunal’s recalibration—factoring in decades of inflation and allowances—ballooned the liability to Sh30 billion, a figure the bank warned could cripple its operations.

    Legal Wrangling and Investor Fallout

    Standard Chartered and its trustees had argued the tribunal unlawfully delegated its adjudicative role by ordering them to recompute benefits.

    The Court of Appeal dismissed this, stating trustees were rightly directed to “apply the law properly.”

    The bank’s loss in the High Court in October 2023, under Justice John Chigiti, foreshadowed the appellate defeat.

    Analysts warn the payout—nearly 60% of the bank’s 2022 net profit (Sh50.3 billion)—could dent shareholder returns, trigger stock volatility, and erode investor confidence.

    Standard Chartered’s shares, a key component of the Nairobi Securities Exchange, now face heightened scrutiny.

    Broader Implications

    The ruling underscores mounting pressure on Kenyan institutions to address historic pension liabilities.

    It also sets a precedent for retirees excluded from inflationary adjustments, particularly as living costs soar.

    The judges’ dismissal of claims under the Fair Administrative Action Act reinforces tribunals’ authority to enforce compliance.

    This case mirrors Standard Chartered’s 34-year legal battle with Manchester Outfitters, highlighting systemic challenges in managing legacy disputes. With appellate avenues exhausted, the bank must now navigate financial and reputational fallout while pensioners—many elderly—finally glimpse redress.

    The RBA will oversee the recalculation, with compliance due within 60 days.

    The financial sector watches closely, aware this ruling could embolden similar claims against other institutions.

  • Wajir MCA Freed After 6 Months, Questions Linger Over Alleged Crime Links and Abduction

    Wajir MCA Freed After 6 Months, Questions Linger Over Alleged Crime Links and Abduction

    After 177 days in captivity, Wajir County Assembly Minority Leader Yussuf Hussein Ahmed, the MCA for Dela Ward, walked back into his Eastleigh home on Saturday night, March 8, ending six months of uncertainty for his family and community.

    Alongside him, three other Kenyans, abducted on the same day in Isiolo, were also released, raising fresh questions about their ordeal and Kenya’s escalating abduction crisis.

    While celebrations erupted in Wajir and beyond, the synchronized releases—shrouded in silence from the freed men—have deepened suspicions of state involvement, alleged crime ties, and a possible political motive.

    Ahmed’s nightmare began on September 13, 2024, when he was forcibly taken from a taxi on Nairobi’s Enterprise Road by armed men, suspected to be security officers, wielding AK-47 rifles.

    The abductors, driving unmarked Land Cruiser Prados, whisked him away as taxi driver Kioko Wambua watched helplessly.

    That same day, over 270 kilometers away in Isiolo, three other men vanished under similarly mysterious circumstances, hinting at a coordinated operation.

    For six months, their whereabouts remained unknown, their families left in anguish, and security agencies silent despite a January court order demanding answers.

    On Saturday night, Ahmed was dropped off at Pangani shopping centre in Nairobi by unidentified men who handed him Ksh 5,000 and warned him not to look back.

    Blindfolded until the final moments, he walked into his Eastleigh home around 11 pm, clutching a Quran, to the shock and relief of his wife.

    The three Isiolo men were similarly released at their homes, appearing frail with shaved heads, but—like Ahmed—offering no details of their captivity. “He seemed jovial but frail,” said Elyas Abdille, Ahmed’s cousin and MCA for Rhamu Dimtu Ward in Mandera. “He’s not ready to talk about his ordeal.”

    The releases sparked jubilation in Eastleigh and Isiolo, with Wajir Governor Ahmed Abdullahi confirming Ahmed was “safe and sound” and undergoing medical checks.

    Woman Representative Fatuma Jehow hailed it as “a tidal wave of joy” for Wajirians. Yet, beneath the relief lies a tangle of unanswered questions. Who held them? Why now? And what ties, if any, link Ahmed to the transnational crime he was once suspected of abetting?

    Ahmed’s abduction followed his clearance by the Wajir County Security Committee on August 8, 2024, from allegations of involvement in smuggling and trafficking along the Nairobi-Moyale corridor—a notorious route for arms and human trafficking near Somalia’s border.

    He was also questioned about the August 12 abduction of two South Korean missionaries in Marsabit, linked to the Oromo Liberation Army and possibly Al-Shabaab.

    Though exonerated, his disappearance four days later fueled speculation he was targeted for what he knew—or was believed to know.

    The simultaneous abductions in Nairobi and Isiolo, and now the coordinated releases, suggest a sophisticated operation, with some pointing to state agencies or a criminal network with unusual reach.

    Adding to the intrigue, Ahmed claimed he was held in a torture chamber adjacent to where Kitengela activists Bob Njagi and the Longton brothers were detained after their August abductions—a claim Njagi had previously corroborated. “He could hear Njagi screaming,” a family source told the media.

    While the activists were freed after 32 days, Ahmed and the three others endured 177, emerging malnourished and silent. “The logistics of holding four people for six months, then releasing them together, is staggering,” said a Nairobi security analyst. “This wasn’t random—it’s a message.”

    The case has also reignited debate over Kenya’s surge in abductions, often targeting critics or crime suspects.

    Human Rights Watch has accused security forces of extralegal tactics, a charge the government denies.

    Ahmed’s return, just four days before his seat would have been declared vacant on March 12, has sparked theories of political timing. “Had he not returned, he’d have lost his position,” Abdille noted, urging captors to free others still missing.

    Last October, a mutilated body from Lake Yahud was misidentified as Ahmed’s, prompting protests in Wajir until DNA tests disproved the claim, amplifying distrust in authorities.

    Now, as Ahmed recovers at Nairobi Hospital, leaders like Eldas MP Adan Keynan and Senator Ali Roba demand accountability. “If state agencies are involved, they must follow the rule of law,” Roba said, noting Ahmed’s “worrying” condition suggested torture.

    For now, Ahmed and the three Isiolo men remain tight-lipped, their captors’ identity and motives a mystery as of March 10, 2025. Advocacy groups are pressing for a transparent probe, arguing silence only emboldens impunity.

    As Kenya grapples with borderland crime and governance challenges, this case stands as a stark reminder: even in moments of relief, the shadows of unanswered questions linger.

  • State Plans to Monitor Sacco Deposits in New Anti-Money Laundering Push

    State Plans to Monitor Sacco Deposits in New Anti-Money Laundering Push

    Kenyans depositing money into Savings and Credit Cooperative Societies (Saccos) may soon face tougher questions about where their funds come from, as the government moves to tighten its grip on money laundering under a proposed law.

    The Anti-Money Laundering and Combating Terrorism Financing Laws (Amendment) Bill, 2025, tabled on March 4 by National Assembly Majority Leader Kimani Ichung’wa, aims to bolster Kenya’s efforts to shed its “grey list” status with the global financial watchdog, the Financial Action Task Force (FATF).

    The bill expands the roster of institutions tasked with policing dirty money, bringing bodies like the Sacco Societies Regulatory Authority (Sasra), the Betting Control and Licensing Board, and even the Directorate of Mining into the fold.

    For Sacco members, this could mean scrutiny over deposits exceeding a yet-to-be-set threshold, with Sasra likely requiring proof of legitimate fund sources.

    “This Bill seeks to address technical compliance deficiencies identified by the Eastern and Southern Africa Anti-Money Laundering Group and FATF,” the legislation states, signaling Kenya’s urgency to meet international standards.

    Kenya landed on the FATF grey list on February 23, 2024, flagged for weak safeguards against money laundering and terrorist financing.

    The watchdog has since pressed for a “risk-based” approach, a shift from Kenya’s current rigid rules to ongoing monitoring of financial risks. The bill responds directly to this, aiming to plug gaps in a financial system vulnerable to illicit flows.

    Beyond Saccos, the legislation casts a wide net. Cash deals in precious metals and stones over $15,000 (Sh1.9 million) will fall under the Directorate of Mining’s watch, a surprising inclusion highlighting the breadth of the crackdown.

    Other regulators, like the Institute of Certified Public Accountants and the Estate Agents Registration Board, will also step up oversight in their sectors.

    This isn’t the government’s only move. New rules effective June 18, 2025, under the Income Tax (Charitable Organisations and Donations Exemption) Rules of 2024, will bar charities from hoarding more than 15% of their funds for three years without spending on charitable causes—another bid to curb financial misuse.

    Meanwhile, a 2024 deal with the Law Society of Kenya turns lawyers into watchdogs, reporting suspicious transactions, and March 2024 regulations threaten banks and officials with Sh20 million fines or 20-year jail terms for mishandling terror-linked funds.

    The stakes are high. Kenya’s grey-listing has rattled investor confidence and complicated global financial ties. “Kenya will work to improve risk-based supervision of financial institutions and adopt frameworks for virtual assets,” the FATF noted in its 2024 report, a roadmap the bill seeks to follow.

    For Sacco members, long a backbone of grassroots savings and loans, the changes could bring added paperwork and delays.

    Critics worry it might dent trust in these community institutions, though proponents argue it’s a necessary price to clean up the economy.

    As the bill heads to debate, Kenya’s fight against dirty money is entering a decisive phase—one that could reshape how millions save and spend.

  • How eCitizen Owners Are Reaping Millions From Sh50 Convenience Fee After Defying State Orders

    How eCitizen Owners Are Reaping Millions From Sh50 Convenience Fee After Defying State Orders

    A private company behind the government’s eCitizen platform has continued collecting millions in convenience fees, defying directives from the highest levels of government to relinquish control.

    Court documents involving the National Treasury reveal that Webmasters Kenya Limited, the firm that developed and operates the digital platform, has ignored state orders, maintaining control of the system and charging users a Sh50 convenience fee per transaction.

    The eCitizen platform, which provides access to various government services, was slated for full transfer to the state by July 2023. Yet, Webmasters Kenya has persisted in collecting revenue from users, fueling tensions with government officials.

    According to Bernard Ndung’u, Director General of Accounting Services and Quality Assurance at the National Treasury, efforts to assume control of the platform have met resistance. “The government was to reserve the right to inspect and ensure everything had been handed over,” he said. “However, the private firm remains in control.”

    Millions Collected in Fees

    Every Kenyan accessing services such as passport applications, business registrations, or driver’s licenses via eCitizen must pay the Sh50 convenience fee. With the platform’s high transaction volume, this translates to millions of shillings flowing into Webmasters Kenya’s accounts monthly.

    Despite directives from the National Treasury and resolutions from State House, the firm remains entrenched in the system.

    Launched in 2014, eCitizen has become a cornerstone of Kenya’s service delivery, enabling citizens to access government services online. However, ownership and control of the platform have been contentious for nearly a decade. During the Uhuru Kenyatta administration, the government fought a legal battle with Webmasters Kenya over ownership and the convenience fees it collected.

    A meeting on November 30, 2022, at the Treasury Building resolved that Webmasters would transfer all rights to the eCitizen platform to the government. Following a State House meeting with President William Ruto, it was also agreed that convenience fees—Sh50 for Kenyans and $1 for foreign nationals per transaction—would be abolished effective December 1, 2022, with funds redirected to the Consolidated Fund.

    Yet, nearly two years later, Webmasters Kenya and its sister companies, Pestalow Ltd and Olive Tree Ltd, continue operating the platform and collecting fees. According to Auditor-General Nancy Gathungu’s latest report, these firms amassed Sh15.9 billion in convenience fees and an additional Sh8.57 billion in maintenance fees for the financial year ending June 2024.

    The report raised serious concerns about the government’s lack of control over eCitizen. Ms. Gathungu warned that without a backup system, a cyberattack could halt government services and cripple the economy. She also flagged the risks of private firms handling sensitive data with minimal government oversight.

    Sources indicate Webmasters Kenya was initially contracted to develop eCitizen but later entrenched itself, complicating the government’s efforts to take full control.

    Government’s Legal Battle

    The state has been locked in a protracted legal and administrative struggle to wrest the platform from private hands. Treasury officials, alongside the Ministry of Information, Communication, and Digital Economy, have pressed for compliance, but Webmasters Kenya insists it deserves compensation for its investment.

    In a recent court filing, the Treasury detailed how the firm continued processing payments despite repeated attempts to integrate the system under state management. Lawmakers have warned that Webmasters’ grip on eCitizen could lead to significant long-term financial losses for the government.

    The lack of state oversight also raises questions about the transparency and accountability of the funds collected.

    In a past Business Daily interview, James Ayugi, founder and CEO of Webmasters Kenya, disclosed that his group bills the government between Sh100 million and Sh120 million monthly. This highlights the lucrative nature of eCitizen and the financial incentives for maintaining control.

    The ongoing Sh50 fee has sparked public frustration, with many Kenyans questioning why a private firm profits from a system meant to streamline government services. Experts caution that without resolution, taxpayers will continue to bear the cost.

    As legal and political battles persist, eCitizen’s future remains uncertain. What is evident, however, is that Webmasters Kenya continues to reap millions from a platform intended to be fully under government control.

  • How Forex Trader ‘Tosh’ Defrauded Clients Of Sh215M

    How Forex Trader ‘Tosh’ Defrauded Clients Of Sh215M

    Michael Gitonga, alias Tosh, a prominent Nairobi-based forex trader and founder of Trade Sense Limited, has been charged with defrauding clients of Sh215.3 million, marking a dramatic fall from grace for the once-licensed money manager.

    The allegations come just days after the Capital Markets Authority (CMA) suspended Trade Sense’s operating licence for 90 days on March 3, citing multiple regulatory breaches that undermined investor protection and market confidence.

    Gitonga was arraigned in court on Wednesday, facing accusations of misappropriating Sh212.16 million in client funds between April 2022 and August 2024. The charge sheet alleges that, as a licensed money manager, he knowingly diverted these funds—intended for online foreign exchange trading—for his personal use.

    Additionally, he is accused of obtaining Sh3.14 million from three separate parties under false pretenses, promising to invest their money in forex trading on their behalf.

    The charges detail specific instances of deceit: between April 2023 and April 2024, Gitonga allegedly obtained Sh1.3 million from Ingotse 95, an investment company; Sh1.54 million from Chepkemboi Labbat between March 27 and April 12, 2024; and Sh300,000 from James Mwaura Mbugua between March 2022 and September 2024.

    In each case, he is said to have misrepresented his intentions, claiming the funds would be invested in the lucrative but volatile forex market.

    A Breach of Trust and Regulation

    Under Kenya’s Online Foreign Exchange Trading Regulations, introduced by the CMA in 2017 to curb fraud in the fast-growing sector, money managers like Gitonga are strictly prohibited from handling clients’ funds directly.

    Their role is limited to overseeing portfolios—offering investment strategies, financial analysis, and trade recommendations—in exchange for a fee based on a percentage of assets under management.

    Clients are required to deposit funds into their own trading accounts through a licensed online forex broker, who provides the trading platform and regular statements.

    “Michael Gitonga, on diverse dates between April 28, 2022, and August 29, 2024, being a licensed money manager at Trade Sense Limited, knowingly converted for your personal use Sh212.16 million intended for online foreign exchange trading,” the charge sheet reads, highlighting a blatant violation of these rules.

    The CMA’s decision to license only non-dealing brokers—who provide platforms and accounts but do not execute trades or access client funds—reflects the high-risk nature of forex trading, which demands robust safeguards.

    Kenya’s tech-savvy population has increasingly tapped into the $7.5 trillion-a-day global forex market over the past decade, fueling demand but also attracting rogue operators promising unrealistic returns.

    Trade Sense’s Downfall

    Trade Sense Limited, which targeted retail investors with a minimum investment of Sh258,380 ($2,000) and high-net-worth clients with Sh1.2 million ($10,000), had been under CMA scrutiny for two years before its licence suspension.

    The regulator cited failures in governance, financial fidelity, anti-money laundering compliance, and operational standards.

    On Monday, CMA Chief Executive Wyckliffe Shamiah emphasized that the suspension was a necessary step to protect investors and maintain market integrity.

    “During the 90-day suspension period, CMA will conduct a review to determine whether to lift the suspension or take further regulatory or enforcement action as may be necessary,” the authority stated. The move follows a surge in forex-related fraud cases, which prompted the 2017 regulations aimed at reining in unregulated entities.

    Gitonga’s case highlights the dangers of Kenya’s rapidly expanding online forex trading industry, where legitimate opportunities coexist with predatory schemes.

    The CMA, established in 1989 under the Capital Markets Act, has worked to foster an orderly and efficient market, but rogue traders continue to exploit gaps.

    Trade Sense’s lock-in period of 90 days and a 3% daily-prorated management fee had lured investors, only for many to now face significant losses.

    As the case progresses, investors and regulators alike will be watching closely to see whether Gitonga faces further legal consequences. The CMA, meanwhile, continues to stress the importance of investor education and stringent oversight to safeguard Kenya’s forex trading industry from fraudsters.

    For now, clients of Trade Sense Limited can only wait and hope for justice as the regulator works to restore confidence in the country’s forex markets.