Money Heist! How 5 directors defrauded SHA of Ksh 41 Million with fake medical claims (PHOTOs)

Wednesday, July 29, 2026 - The Directorate of Criminal Investigations (DCI) has arraigned five directors of Nissi Medical Centre and Dawa Front Healthcare Services before the Milimani Law Courts over an alleged Ksh 41 million fraud targeting the Social Health Authority (SHA).

The arrests followed a formal complaint lodged by SHA after a forensic audit uncovered widespread irregularities in medical claims submitted by several contracted healthcare providers.

The audit further established that some healthcare facilities previously closed by the Kenya Medical Practitioners and Dentists Council (KMPDC) for non-compliance continued to operate under active SHA contracts.

Subsequent investigations established that the suspects orchestrated fraudulent schemes involving irregular and fictitious medical claims, including claims for patients who were never admitted, falsified medical records, and false statements used to obtain payments from SHA.

Detectives further established that some claims were submitted by facilities operating outside the requirements of the Social Health Insurance Act and other applicable regulatory frameworks.

Investigations revealed that Nissi Medical Centre received more than Ksh 38.7 million through fraudulent claims, while Dawa Front Healthcare Services is suspected of fraudulently obtaining more than Ksh 2.5 million.

Detectives also intercepted additional claims worth more than Ksh 8.1 million before they could be paid.

The five accused persons are Nissi Medical Centre directors Dominic Atieno and Peter Atieno, and Dawa Front Healthcare Services directors Eugine Ochieng, Enos Osire, and Elija Otieno.

They face charges including conspiracy to commit a felony, making false statements to obtain benefits under the Social Health Insurance Act, and acquisition and use of proceeds of crime contrary to the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA).

Meanwhile, detectives are pursuing additional suspects believed to be linked to the alleged fraud scheme.

The Kenyan DAILY POST.