The Central Bank of Kenya (CBK) has placed Imperial Bank Limited in liquidation, paving way for the sale of its assets. Imperial Bank was placed under receivership in October 2015, and the Kenya Deposit Insurance Corporation (KDIC) appointed as the receiver.
On June 2 last year, Kenya Commercial Bank (KCB) acquired assets valued at KSh3.2 billion, and assumed liabilities of the same value. The CBK said the money raised, which represented 37.3% of the total deposits, was to be paid to depositors across four years.
Consequently, the regulator said 45,700 out of 50,000 depositors had accessed their funds in full, leaving out some 4,300.
In September 2020, CBK asked for the appointment of an external auditor to examine Imperial Bank’s books. The audit report, which was submitted to KDIC on December 7, 2021, recommended that the bank be placed in liquidation, as it had become insolvent.
On December 8, CBK appointed KDIC as the liquidator of Imperial Bank.