Bernice Mbugua @BerniceMuhindi
Former statutory managers of Blue Shield Insurance Company are now likely to face criminal charges over misappropriation of funds. This is after Office of Director of Public Prosecution recommended their prosecution following a report from the Auditor General Edward Ouko that showed they allegedly misappropriated funds and assets of Blue Shield Insurance Company Ltd, which is under statutory management from 2011.
DPP through Dorcas Oduor, the secretary of public prosecutions, noted that the report of the Auditor General pointed out matters of facts and there is sufficient evidence to hold the suspects criminally culpable.
Oduor has asked the Directorate of Criminal Investigations (DCI) to record statements from the concerned parties and the file to be resubmitted to the DPP’s office within seven days.
The DCI had requested for an inquiry in 2016 into alleged misappropriation of funds and assets of Blue Shield Insurance Company Ltd. The company was placed under receivership in September 2011 and Eliud Muchoki Muriithi was appointed the statutory manager where he served from September 15, 2011 to July 4, 2014 earning a monthly salary of Sh1.2 million.
However the report by the Auditor General, indicate that there was no documentary evidence showing the criteria used for his appointment and how he was evaluated among other potential managers. The AG’s report further notes that Muriithi increased his salary to Sh1.6 million per month in December 2012 .