Kenya’s Capital Markets Authority has fined the former chair and two former senior managers of Chase Bank Kenya Limited a combined KES 11 million and disqualified them from director or key personnel roles in the capital markets. The sanctions follow findings of breaches linked to the bank’s 2015 medium term note issuance and use of proceeds, including false and misleading financial statements, inadequate disclosure and conflicts of interest. Former Chair Zafrullah Khan received a KES 5 million fine and a 10-year disqualification for failing to exercise effective oversight, disclose a material bonus payment and manage his conflict in approving that bonus. Former General Manager of Finance Makarios Agumbi was fined KES 3.5 million and disqualified for five years, while former General Manager of Corporate Assets James Mwaura was fined KES 2.5 million and disqualified for two years. The findings against the managers included facilitating misleading 2014 financial statements and making or facilitating the bonus payment contrary to the board’s resolution. All three must complete corporate governance training before they can be considered for future board or key personnel appointments in Kenya’s capital markets.
2025-11-19Kenya Capital Markets Authority
Kenya’s Capital Markets Authority fines former Chase Bank chair and executives KES 11 million and imposes disqualifications over 2015 note issuance
Kenya’s Capital Markets Authority fined three former Chase Bank officials a combined KES 11 million and imposed disqualifications of two to 10 years over breaches linked to the bank’s 2015 medium term note issuance. The findings covered misleading financial statements, deficient disclosures, conflicts of interest and an improper bonus payment.