Directors of Invesco Assurance Company have been charged with Ksh 309 million fraud case following investigations by DCI’s Insurance Fraud Investigation Unit.
Investigations into the fraud follows discovery of a secret bank account at M Oriental Bank at Sameer Business Park Branch where the directors used to siphon some of the funds from the company and later transfer to their personal accounts.
“Their arrest and subsequent arraignment followed meticulous investigations conducted by DCI’s Insurance Fraud Investigation Unit, which commenced on September, 2024 when officials at the Insurance Regulatory Authority discovered a broad fraudulent scheme implicating them.
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Through a letter to the investigators by Policyholders Compensation Fund (PCF), ARA stated that in the course of taking over assets of Invesco Assurance Company Limited (under statutory management), they uncovered that the insurer was using a secret bank account registered in the name of Compliant Insurance Agency domiciled at M Oriental Bank (Sameer Business Park Branch) opened on 1st May, 2024, with signatories to the said account being top management of Invesco Assurance Company Limited.
All the collections of insurance premiums from 27 branches across the country were being remitted into the said bank account.
Investigations commenced, and statements were recorded from relevant witnesses and all relevant documents collected. The evidence pieced together revealed that the then top management of Invesco Assurance Company Limited (Directors, Chief Finance Officer and an Accountant), between 1st May, 2024 and 15th August, 2024, siphoned a total of Ksh 309 million through their respective Mpesa accounts from the said account.
A case file accompanied by all the evidence was forwarded to the Office of the Director of Public Prosecution (ODPP), who on perusal advised that the seven be charged with the offence of Insurance Fraud Contrary to Section 204B(2) as read with Section 204B(5) of the Insurance Act.
Additionally, accused number four (4) to seven (7) were to face another charge of Stealing by Directors contrary to Section 282 of the Penal Code.
On Tuesday, 20th May, 2025, all the seven suspects were arrested and placed in custody at Capitol Hill Police Station, ahead of their arraignment today at Milimani Law Courts.” said DCI
