Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

Finance

Chase Bank sends home MD and Board Chair after dismal performance

Chase Bank chairman Mr Zafrullah Khan and group managing director Mr Duncan Kabui (right)

Chase Bank chairman Mr Zafrullah Khan and group managing director Mr Duncan Kabui (right)

NAIROBI, Kenya, April, 6 – Chase Bank has replaced its long-serving Chair Zafrullah Khan and Group Managing Director Duncan Kabui days after the bank reported a Sh792m loss in 2015 from a high of Sh2.3bn profit in 2014. 

“Mrs Muthoni Kuria has been appointed as the Chair of Chase Bank’s board. Mrs Kuria has served on the Board for over three years. She is a career banker and certified public accountant. She holds an MBA and serves on other boards,” says a statement sent by Chase Bank and signed by Kuria.

Earlier on Wednesday, rumours of the Bank’s collapse were dismissed by Central Bank Governor, Dr Patrick Njoroge, with Chase Bank responding to the rumours as ‘malicious and irresponsible.’ However, the CBK Governor, while speaking with journalists, said the regulator will be enforcing stringent audit process of books and IT systems.

However, the CBK Governor, while speaking with journalists, said the regulator will be enforcing stringent audit process of books and IT systems.

Chase Bank says Khan and Kabui stepped aside following the publication of the 2015 financial statements which reveal a significant jump of its non-performing loans from Sh3 Billion to Sh11 billion. Interestingly, the Bank released a revised 2015 statement showing a significant difference in the loans advanced to directors and employees.

A number of banks have faced closer scrutiny from the regulator resulting to the closure of Imperial Bank and the exit of the NBK CEO along with five senior managers.

The Central Bank has raised concern on the growing non-performing loans credited to weak lending policies.

“We would like to reassure the general public that our customers’ funds and investments are safe,” said Kuria, adding shareholders of the bank have fully supported the changes, and remain committed to the partnership with the bank.

Mr Paul Njaga continues as the Chief Executive Officer.

Advertisement. Scroll to continue reading.
Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...