The Director of Public Prosecutions (DPP) has charged the chief executive officers of NCBA Bank, KCB Bank and Co-operative Bank over their alleged failure to report suspicious transactions linked to an alleged KSh363 million fraud scheme.
According to the Office of the Director of Public Prosecutions (ODPP), the three CEOs will take plea before the Chief Magistrate’s Court on August 11, 2026, after the court issued summons.
The charges relate to an ongoing case in which a former nominated Member of the County Assembly (MCA) is accused of stealing KSh363,420,459 from First Assurance Investment Company Limited.
The ODPP said the former MCA served as a director of the company alongside Lamu Governor Issa Abdalla Issa.
The prosecution alleges that the accused stole the money between May 18, 2018 and April 30, 2024 by taking advantage of his position as a director and his access to the company’s bank accounts held at NCBA Bank, KCB Bank and Co-operative Bank.
“Upon reviewing the evidence, the DPP approved 120 charges against the accused,” the ODPP said.
The charges include three counts of conspiracy to defraud, two counts of stealing, 114 counts of making a document without authority and one count of acquisition of proceeds of crime.
The prosecution further told the court that the accused allegedly forged the signature of his co-director, Governor Issa Abdalla Issa, on several company cheques and presented them as genuine to facilitate the withdrawal of company funds.
“The accused acquired KSh363,320,459 knowing the money constituted proceeds of crime arising from the alleged theft,” the DPP said.
The former MCA denied all the charges before Chief Magistrate Gethi Kibiru.
The court released him on a bond of KSh10 million with one surety of a similar amount or an alternative cash bail of KSh3 million.
Meanwhile, the three bank CEOs are expected to appear in court next week to answer charges of allegedly failing to report suspicion regarding proceeds of crime, contrary to the Proceeds of Crime and Anti-Money Laundering Act.
