Ex NHIF boss, 4 others have case to answer in Sh 117 million graft case


Court has found that the former National Hospital Insurance Fund (NHIF) boss Richard Kerich and four others have a case to answer in the Sh117 million Meridian Medical Centre graft case.

Chief Magistrate Lawrence Mugambi ruled that the prosecution has established a case against Kerich, former manager strategy and corporate planning Fadhili Marwa Chacha, David Chingi, a former assistant manager, benefits and quality assurance at NHIF, Peter Ngunjiri Wambugu, Ndiba Warioko and Meridian Medical centre.

NHIF had entered into a deal with Meridian Medical Centre Limited to provide medical services to civil servants and disciplined forces.

Meridian was among 173 facilities that responded to an advertisement by NHIF calling for proposals for provision of outpatient services to civil servants. The cover, known as Mzalendo, shortlisted 10 branches belonging to Meridian. The Scheme was to start running from January 2012. 

The former NHIF officials are accused of entering a deal with Meridian Medical Centre Limited for the provision of the said services when they were aware that Meridian had no capacity to provide them.

Kerich, Chacha and Chingi are also charged with abuse of office, failing to comply with procurement laws and conferring a benefit of Sh 43 million to Meridian. They are alleged to have committed the offences on 21st December 2011 and 8th February 2012.

However, Chacha was acquitted of one count of failing to comply with the laws relating to procurement saying his involvement in the process came later after the procurement had been done.