SHA looters will face full force of the law, Ruto says
President William Ruto delivers his speech during the commemoration of Katiba day on August 27, 2025 at Kenyatta International Convention Centre in Nairobi.
On a day MPs gave Health Cabinet Secretary Aden Duale 48 hours to quit or face censure proceedings, President William Ruto said action would be taken against hospitals and individuals stealing from the Social Health Authority (SHA).
Addressing 6,000 grassroots leaders from Kiambu County at State House in Nairobi yesterday, the President said the government would prosecute those responsible for the fraud and recover the amounts disbursed.
“Some people were used to stealing during the National Hospital Insurance Fund (NHIF) era through ghost hospitals and fake claims,” he said.
President Ruto added that more than 1,000 hospitals have been closed due to financial misconduct. He said digitising SHA operations has enabled authorities to detect and track fake hospitals and fraudulent claims before payment.
Dr Ruto said the government has given Sh21 billion to dispensaries, health centres and sub-county hospitals for primary medical care and urged Kenyans to report any facilities still charging for services.
“If you go there, get treated and leave without paying,” he said.
At the same time, a group of MPs in the Kenya Moja Caucus confronted Mr Duale regarding malpractices, including procurement of the Sh104 billion SHA digital system.
Nairobi Senator Edwin Sifuna and MPs Anthony Kibagendi (Kitutu Chache South) and Wilberforce Oundo (Funyula) raised concerns over the rushed implementation of the system.
They said SHA’s outstanding bills have increased to 43 billion in just 10 months, compared to 32 billion of the NHIF at the time it was folded.
The lawmakers linked Mr Duale to a company that developed the SHA digital system and another that collects revenue.
“We demand the immediate resignation of Mr Duale,” the MPs said in a statement read by Mr Kibagendi.
They called for the resignation of SHA Chairperson Mohammed Abdi and the setting up of a commission of inquiry into the authority.
“If these things do not happen, we will tell Kenyans to act fast. This level of impunity and theft should not go unchallenged,” Mr Kibagendi said.
Members of the National Assembly Health Committee earlier raised concerns regarding the establishment of SHA.
They talked of the rushed implementation, lack of transparency and the financial decisions surrounding it. According to them, upgrading the NHIF system would cost Sh700 million.
Central Organisation of Trade Unions (Cotu) Secretary-General Francis Atwoli also waded into the debate. He said Cotu is reconsidering workers’ participation on the SHA Board.
He added that SHA does not control its operations “which are dependent on an IT platform that remains under the control of the Digital Health Authority (DHA) and the Ministry of Health.
Mr Atwoli said SHA was established through an Act of Parliament, meaning it is not subordinate to the DHA or the ministry.
“Unless SHA is given control of the IT platform, workers will lose the faith and trust they have in the institution,” he said.
The MPs said SHA payments are discriminatory, adding that some hospitals are paid while others have never received a cent.
“Worse still, ghost hospitals are paid regularly,” Mr Kibagendi said.
Mr Duale expressed shock at MPs questioning the existence of an authority established by a law they themselves passed.
He said the allegations regarding the cost of the Integrated Healthcare Information Technology System (IHITS) are based on misunderstanding and “a misrepresentation of facts”.
“IHITS is a comprehensive national health ICT system that integrates key players, including healthcare providers, SHA, the Kenya Medical Supplies Authority, the DHA, the Kenya Medical Practitioners and Dentists Council, the Clinical Officers Council and the Pharmacy and Poisons Board,” the minister said.
On conflict of interest, Mr Duale said his career in public service spans more than 20 years, “a significant portion of which has been spent in the corridors of Parliament”.
“My integrity and declaration of assets are on public record, detailed in the Hansard. I challenge any individual to present a CR12 document from the Registrar of Companies that shows my ownership or directorship in the firm in question. I am ready to present myself before any parliamentary committee or oversight agency,” he said.
Additional reporting by Kennedy Kimanthi
