Skip to content
Advertisements

Kenya banks fined over $78m corruption scandal

Kenya’s Central Bank has fined five commercial banks linked to an alleged $78m (£59m) corruption scandal involving the National Youth Service (NYS).

88d74790-1664-483f-b237-ebb055757bc0


The missing funds were allegedly stolen in a scheme involving senior government officials and ghost suppliers.

Standard Chartered, Equity Bank, KCB Bank, Co-operative Bank and Diamond Trust Bank were collectively fined just under $4m.

They are accused of being conduits of fraudulent payments to suppliers of the NYS.

The NYS is an initiative by the government to train young people in life and business skills. It was part of President Uhuru Kenyatta’s plan to fix Kenya’s high youth unemployment.

BBC Africa Business’s Hudheifa Aden says Kenya’s director of public prosecution is expected to determine the criminal culpability of the accused banks.

NYS boss Richard Ndubai, who was arrested in May, is among 20 officials already facing charges over the scandal.


Cover photo: The multi-million dollar scandal was brought to light by suppliers who had not been paid. Photo: Reuters

Advertisements

Post a comment

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: