Nairobi Hospital officials face criminal charges

They are charged with an alleged conflict of interest, unlawful receipt of benefits and failure to comply with financial reporting requirements.

According to the charge sheet presented by the Office of the Director of Public Prosecutions (ODPP), Chris Bichange Munga Nyamaratandi and Samson Mbuthia Kinyanjui are accused of receiving millions of shillings from an insurance agency contracted by the hospital’s governing association.

In the first count, Nyamaratandi is charged with conflict of interest by a director contrary to Section 146(1) as read with Section 146(12) of the Companies Act. 

Prosecutors allege that between November 10, 2023 and March 15, 2024, while serving as a director of Kenya Hospital Association Limited, he had a direct interest that conflicted with that of the company by receiving Ksh 4.8 million from Meritorious Insurance Agency, a firm contracted by the association.

 Dr. Chris Bitange also faces another charge of accepting a benefit from a third-party contrary to Section 147(1) (a) as read with Section 147 (5) of the Companies Act. The prosecution claims the payments were attributed to his position as a director and created a conflict of interest.

In a separate count, Samson Kinyanjui is similarly accused of conflict of interest by a director after allegedly receiving Ksh.3,999,996 from Meritorious Insurance Agency between December 23, 2024 and March 17, 2025 while serving as a director of the association.

Prosecutors further charge that the two directors, alongside Job Lukuru Obwaga and Valarie Akinyi Gaya, failed to comply with statutory financial reporting obligations.

According to the prosecution, Dr. Obwaka failed to lodge the company’s 2022 and 2023 financial statements with the Registrar as required by law. 

The charge sheet also alleges that Dr. Munga, Kinyanjui, Obwaga and Gaya jointly failed to lodge the association’s 2024 financial statements with the Registrar.

The alleged offences are said to have occurred at the Nairobi Hospital.