Family Bank Installs Anti-Money Laundering System After Involvement with the NYS Scandal

Wilfred Kiboro
Family Bank Chairman Wilfred Kiboro

Wilfred Kiboro

Family Bank has released a statement regarding its alleged participation in the NYS 1 scandal that saw the loss of hundreds of millions of shillings or more. In line with the investigations and the institution’s alleged mishaps, the bank was prosecuted in 2016.

The aftermath of the investigation was a plea bargain agreement with the ODPP in the Chief Magistrates Court at Nairobi Criminal Case No. 2041 of 2016. As of this writing, the Chief Magistrates Courts have deliberated, accepted and adopted the plea bargain that will effectively exonerate the financial powerhouse from the case. However, the bank will pay KES 64.5 million in fines for offences related to the scandal, which include failure to report fraudulent transactions that occurred under its watch.

The bank’s Chairman has lauded how the Family handled the matter, particularly in its approach to tackling corruption cases.

“As a responsible and law-abiding corporate citizen who desires to be in the forefront against corruption, we have taken this legal option available under the law to expedite the justice process. We believe that this action is in the best interest of our various stakeholders and the public at large,” noted Wilfred Kiboro, Family Bank Chairman.

Anti-Money Laundering System

Family Bank says it has since installed a robust anti-money laundering system that will be used to detect and nab suspicious transactions. It has also put in place systems and measured that will see strict adherence to its Know Your Customer (KYC) policy, in addition to a regular capacity building program for staff members.

“We wish to reassure all our customers and shareholders that we are committed to our mission and core values and have the singular focus of delivering excellence and offering financial solutions that meet market demands,” concluded Mr Kiboro.