Kenya's National Health Insurance Fund (SHA) is embroiled in a large-scale fraud scandal involving claims worth approximately 10.6 billion shillings. The Ministry of Health, led by Health Cabinet Secretary Aden Duale and SHA CEO Mercy Mwangangi, has suspended 45 health facilities nationwide, including branches of Equity Afia in Homa Bay and Mandera counties, from receiving SHA benefits due to fraudulent activities. Mandera County alone accounts for 10 of the suspended facilities. The suspended hospitals are accused of submitting false claims and falsifying patient records. President William Ruto has vowed to arrest and prosecute individuals involved in the fraud and has mandated that hospitals found to have received payments through fraudulent claims must refund the money. Ruto emphasized that the digitization of SHA will aid in detecting and preventing future fraud. The Kenya Moja Alliance, a coalition of youthful MPs, has demanded the resignation of Health CS Aden Duale and SHA CEO Mercy Mwangangi over the scandal. Additionally, there are reports of ongoing disputes within the Ministry of Health related to a 9 billion shilling ghost workers scandal. Meanwhile, Sidian Bank, recently acquired by President Ruto in 2023, has been criticized for allegedly facilitating money laundering and enabling government officials and cartels to withdraw large sums, raising concerns about its role in financial crimes linked to public funds. The government continues to take measures to clamp down on fraudulent activities within the health insurance system and related sectors.
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