A multi-agency team raided the Nairobi Hospital on Friday March 21 looking for documents and information amid leadership wrangles at the country’s premier facility.
The team led by officers from the Directorate of Criminal Investigations (DCI), Kenya Revenue Authority (KRA) and Attorney General’s office stormed the hospital a day after obtaining a court order to conduct the search.
Although it was not clear what the officers were able to gather from the raid, an application by the Attorney General allowed them to search the premises, offices at the hospital and all offices of senior management of the hospital.
The hospital welcomed the probe saying they believed it was a step in the best interest of the hospital.
Welcoming the investigation, the hospital's Board of Management chairman Dr Barcley Onyambu said the management team will comply.
"We remain fully committed to complying with the directive while continuing to provide uninterrupted care to our patients. We also wish to reassure our staff that hospital operations remain stable and that their dedication to patient care continues to be our greatest strength during this period," he stated.
Abuse of office allegations
The order sought by chief inspector Martin Munene stated that they were investigating allegations of abuse of office, conspiracy to commit an economic crime and money laundering among other offences.
“…to have access to and obtain the following information and carry away exhibits, original and copies of documents, all computers, laptops, ipads, all digital devices and systems in those offices and equipment that the respondents have in the possession in their premises suspected to have been utilised for commission of crimes aforesaid,” the court order stated.
The officer also sought documents showing a list of all members of the hospital, financial statements prepared by Kenya Hospital Association from 2015 to date and documents relating to construction works and development projects at the hospital among others.
The search warrant obtained at Milimani magistrates court has listed ousted chairperson Dr Chris Bichage, Dr Onyambu- who was named to replace him after a boardroom coup, company secretary Gilbert Nyamweya, Dr Fred Kambuni, among others.
The court also allowed Mr Munene to look at the hospital’s registration history to the current status and resolutions, annual general meetings and copies of annual returns from 2019 to March 2025.
“That the applicant is an inspector appointed under section 800 of the Companies Act investigating the matters pertaining abuse of office, conspiracy to commit economic crimes and money laundering, allegations of fraud, forgery, governance, membership and financial malpractices affecting Kenya Hospital Association and its directors under the Companies Act,” the court order stated.
The officer said the investigations were prompted by complaints and outcry from members of the public on the ‘dwindling state of affairs and the near collapse’ of Nairobi Hospital.
“The information being sought is critical to the investigations into the allegations of fraud, forgery and abuse of office among other offences, allegedly committed by the respondents,” Mr Munene said in an affidavit.
He alleged that members were being recruited fraudulently without following due process with the aim of defeating proper and orderly conduct of business.
Mr Munene also claimed that there have been allegations of irregular award of tenders and conflict of interest in the award of tenders.
“That the applicant has through the registrar of companies, the regulator, previously sought for documents from the 3rd (the chief executive officer of the hospital) and 4th (Dr Bichage) respondents by way of a letter dated March 13, 2025 but the respondents have not honoured the requests thereby occasioning undue delay in the progress of investigations,” he added.
Several cases are pending in court including a petition challenging the resolutions and the outcome of the annual general meeting held in December and a petition by Dr Bichage, who has challenged his removal as the chairperson of the hospital.
Justice Peter Mulwa granted temporary orders blocking the management from undertaking capital intensive expenditure or taking loans, pending a ruling on March 24.
A new petition was also filed by two members of the hospital seeking to compel management of the premier facility to allow the creation of an interim Medical Advisory Committee (MAC).
Yasmin Aligass Mohamed and Lynsley Madirani also wanted the court to compel the acting chief executive officer Mr Felix Osano to effect the resolutions passed on March 13 and admit six officials who were elected during the special general meeting (SGM).
The officials who were elected during the SGM are Dr Agnes Gachoki (chairperson), Prof Timothy Byakika (vice chairperson), Dr Frank Mwongera (medicine), Dr Job Obwaka Obstetrics and gynaecology), Dr Steve Muhundia (Pediatrics) and Prof Thomas Chokwe (anesthesiology).
Justice Peter Mulwa certified the application as urgent, but declined to grant the interim orders as sought.
“The application is certified urgent. The same to be served and responses filed within 5 days,” the judge said and directed the case to be mentioned on March 25, for directions.
In the application, the two members also sought orders to amend the Admitting Staff Association Regulations of Nairobi Hospital and create an interim MAC, while abolishing the existing MAC.
The court was told that on February 20, the admitting staff association, issued a requisition and a notice to the acting CEO to convene a special general meeting of the Nairobi Hospital Staff Association.
Ms Mohamed said the failure to implement the resolutions installing the interim committee due to the lack of enabling provisions would be unfair and contrary to the principles of good governance, transparency and corporate democracy.
The board of management led by Mr Osano has maintained that the elections were conducted against a court order
As such, Mr Osano the officials were not recognised by the hospital, and their participation in formal governance processes was not permissible under the current legal framework.
“The hospital’s board cannot legally recognise the individuals elected through that process as MAC officials. That board members cannot arbitrarily expand plenary sittings to include members not duly elected to represent the MAC at board meetings,” Mr Osano said.
