CorruptionExposed

Kenya Maritime Authority (KMA) Official Arrested in Medical Insurance Fraud

The crackdown also targeted two insurance brokers suspected of facilitating the fraudulent scheme. Investigators allege that Mwasaru collaborated with Bevaline Lundu, KMA’s Head of Supply Chain Management, to manipulate the tender process and unlawfully award the contract to a favoured insurance agency in violation of procurement laws

Henry Mwasaru, the Assistant Director and Head of Human Resources and Administration at the Kenya Maritime Authority (KMA) has been arrested on charges of corruption linked to a Kes40,539,760 tender for staff medical insurance. Mwasaru was taken into custody on Tuesday during a meticulously coordinated operation. 

The crackdown also targeted two insurance brokers suspected of facilitating the fraudulent scheme. Investigators allege that Mwasaru collaborated with Bevaline Lundu, KMA’s Head of Supply Chain Management, to manipulate the tender process and unlawfully award the contract to a favoured insurance agency in violation of procurement laws.

Acting under court orders, investigators seized critical evidence during the operation, which is expected to play a significant role in the unfolding investigation. The recovered materials aim to unravel the inner workings of the alleged corruption scheme and strengthen the case against the suspects.

The investigation commenced following a formal complaint filed on 30th September 2024, alleging corruption and irregularities in the tendering process. Preliminary findings suggest that KMA officials exploited their positions to rig the procurement process, securing kickbacks and inflating contract terms to misappropriate public funds.

This case highlights the growing concern over corruption in the procurement of staff medical insurance within public institutions, a sector increasingly targeted for embezzlement. Officials are accused of using fraudulent contracts and illicit tender awards as conduits for personal enrichment.

The Ethics and Anti-Corruption Commission (EACC) has reaffirmed its commitment to combating such malpractices and ensuring accountability for those abusing public office. Further arrests and legal action are expected as investigations deepen, signalling a robust approach to tackling corruption.


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