NAIROBI, Kenya, Aug 4 – Kenya’s M Oriental Bank has dissociated itself from the struggling Bank M Tanzania, which is now under receivership due to serious liquidity issues.
In a statement, M Oriental Bak says it does not own Bank M.
“The correct position is that CBK gave an approval to M Holdings Limited – a Kenyan owned and registered company in 2016 to acquire up to 51% of M Oriental Bank Limited, however, they subsequently opted to only acquire 33.8 percent,” reads part of the statement.
According to the Kenyan financier, Bank M Tanzania does not have shares in M Oriental Bank or its holding company, M Holdings Limited.
“M Oriental Bank Limited does not have any association whether direct or through any interbank lending to Bank M Tanzania,” says M Oriental Bank Chairman, Shanti Shah.