advertisement

Companies

Regulator bid to liquidate Blueshield sparks new row

Acting Commissioner of Insurance Godfrey Kiptum. FILE PHOTO | NMG
Acting Commissioner of Insurance Godfrey Kiptum (right). FILE PHOTO | NMG 

The Insurance Regulatory Authority (IRA) has sought the High Court’s permission to liquidate Blueshield Insurance, sparking a fresh war with the collapsed firm’s shareholders and police.

Acting Commissioner of Insurance Godfrey Kiptum in a court application says Blueshield’s shareholders have since 2014 failed to honour agreements to pump over Sh950 million into the collapsed firm as part of a revival plan leaving the regulator with no option but to pursue liquidation.

But Blueshield shareholders Jean Ngengi and Beth Muigai have alongside the Directorate of Criminal Investigations (DCI) opposed the liquidation application, arguing that it will prematurely extinguish investigations into statutory manager John Keah of the collapsed underwriter.

Ms Ngengi and Ms Muigai want Justice Francis Tuiyott to stop the liquidation proceedings until the DCI and Director of Public Prosecutions have determined whether Mr Keah and IRA officials should be charged for pilfering over Sh767 million from Blueshield.

Kenneth Kemei, a detective attached to the DCI headquarters, says that investigations into Blueshield’s receiver managers have been completed and a report forwarded to DPP Keriako Tobiko.

advertisement