IG Joseph Boinnet orders arrest of top Chase Bank, National Bank managers

Inspector General of Police Joseph Boinnet on April 8, 2016 the arrest of six National Bank of Kenya and two Chase Bank managers on April 8, 2016 over unethical conduct. FILE PHOTOS |

Inspector General of Police Joseph Boinnet has ordered the immediate arrest of six National Bank of Kenya and two Chase Bank managers over unethical conduct.

Mr Boinnet however gave the eight managers the option of presenting themselves at the Directorate of Criminal Investigations headquarters by 3.30 p.m Friday.

He named NBK’s Managing Director Munir Mohammed, Executive Director Boniface Biko, Chief Credit Officer George Jaba, ICT Director Mohammed Abdalla, acting Chief Finance Officer Wycliffe Kivunira and Chris Kisire who is the Chief Finance Officer.

From Chase Bank, Mr Boinnet wants former Chairman Zafrullah Khan and former Group Managing Director Duncan Kabui to present themselves at the DCI or face arrest.

The IG also said police have arrested one David Mukunzi Zawadi for spreading false information concerning the banking sector through social media.

“We will not allow unscrupulous members of the public to spread unfounded rumours and conjecture aimed at causing unnecessary fear and panic among the public,” Mr Boinnet said.

He said the suspect will be face charges of misusing of social media to disseminate falsehoods about the banking sector.

“We accordingly caution the public to be wary of such messages and refrain from disseminating them. In case of any uncertainty, they should obtain clarification from the authorities,” he said.

Central Bank of Kenya on Thursday placed Chase Bank under receivership and appointed Kenya Deposit Insurance Corporation (KDIC) as the receiver manager for a period of twelve months over what the regulator termed as "unsafe financial conditions" leading to liquidity difficulties.