CS Nakhumicha Announces Suspension Of 27 Hospitals Linked To Ksh171M Fraud

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Health Cabinet Secretary, Susan Nakhumicha, has announced the suspension of 27 hospitals accused of fraudulent activities that have rendered the National Health Insurance Fund (NHIF) to a loss of Ksh20 billion. 

The minister revealed that the decision followed an audit carried out on 67 hospitals, out of which the 27 were discovered to be involved in the multi-million fraudulent activities targeting the National Hospital Insurance Fund (NHIF).

“Fictitious records, manufactured claims, and deceptive practices, such as falsely indicating members undergoing major surgeries while actively at work, have all contributed to defrauding the Fund. Disturbingly, some hospitals have targeted groups of security guards from licensed security firms, financially inducing them to provide biometrics for fraudulent purposes.

“Anomalies have also been identified, including facilities conducting an exceptionally high number of eye surgeries in a day, ranging from 10 to 22, in facilities with a capacity of only 2 per day while lacking adequate theatre capacity. Such discrepancies raise significant doubts about the legitimacy of claims and the resources available at these facilities,” she added.

The audit was done on 67 hospitals between July 2022 and June 2023, with the government maintaining that about 3,440 out of 8,886 medical centres defrauded the government.


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