Chase is a mid-sized bank with a mixture of clients Reuters |
Kenya’s police chief has
ordered the arrest of eight bankers for “unethical conduct”.
Media
report continues:
A
statement from the inspector general of police listed six bankers from the
National Bank of Kenya and two from Chase, the bank which was placed under
receivership on Thursday.
Joseph
Boinnet also said a man had been arrested for “peddling falsehoods” on social
media about the banking sector.
The
Central Bank of Kenya (CBK) said panic withdrawals on Wednesday, caused by
"inaccurate" rumours on social media, had led to a run on Chase Bank.
The
move follows a promise by the CBK governor to crack down on rogue bankers.
"We
cannot tolerate rogue bankers, those who in effect steal from depositors,"
Reuters news agency quotes Patrick Njoroge as saying.
On
Wednesday, Chase dismissed its chairman and group managing director
after the release of two conflicting financial statements.
One
of them had downplayed the bank's internal loans. An audit later showed
the bank had loaned its directors US$80m, and its bad debts had skyrocketed to US$100m.
On
29 March, National Bank placed its chief executive officer and five top
managers on leave to pave way for an internal audit, Reuters reports.
Here's a copy of the police
chief's statement, listing the names of the bankers:
Kenya police
|
Kenya police |
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