Post by anenro on Jan 1, 2016 3:38:30 GMT 4
Kenya: Whistle-Blower in Bank Fraud Scheme Cries Foul
A whistle-blower in the Sh34 billion Imperial Bank's fraud scheme has moved to court seeking to have freeze orders on his bank account lifted.
Mr James Kaburu, former acting deputy managing director of the bank, had told some board of directors about the scam, which led to it being placed under receivership.
It is alleged that the fraud was run by the bank's long-serving Chief Executive Officer Abdulmalek Janmohammed before his death in September.
Mr Kaburu has in his court papers said that Imperial Bank, whose management was taken over by the Central Bank of Kenya, had obtained orders against him through misinterpretation that he was part of the wider cartel that swindled billions of shillings from the lender leading to its collapse.
Through his lawyer George Kithi, he added that as a result of the orders, he has been unable to access his money to pay for his basic needs as well as pay for his hospital bills, which are accumulating daily.
"Mr Kaburu is also on the verge of being blacklisted by the Credit Reference Bureau for defaulting in meeting his financial obligations. Ultimately, the effects of the orders are harsh and oppressive since he was never accorded a hearing at all before the court issued them," said the lawyer.
Mr Kaburu wants the orders against him set aside because they have deprived him of his right to life, freedom and human dignity.
Imperial Bank sued Mr Naeem Shah who temporarily succeeded Mr Janmohammed as group managing director, his deputy Mr Kaburu, the family of Mr Janmohammed and other individuals and firms, seeking to recover Sh34 billion it claims was lost in the fraudulent scheme.
The lender insisted that the accused either helped Mr Janmohammed or benefited from proceeds of his illicit scheme.
Separately, the shareholders of the troubled bank are also seeking to be allowed to participate as co-plaintiffs.
Through lawyers Njoroge Regeru and Andrew Wandabwa they told the court they have distinct interests, hence their desire to be allowed to participate as co-plaintiffs
