Listed reinsurance company Kenya Reinsurance Corporation Ltd (Kenya Re) has suspended its managing director, Dr. Hillary Maina Wachinga, for 21 days as the board reviews what it called “internal matters.”
- •The suspension follows what the state-backed reinsurer described as a preliminary review requiring “a thorough and impartial assessment.”
- •The board appointed Nicodemus Gekone, the firm’s general manager for property and investments, as acting Managing Director during the period.
- •The reinsurer, which is majority owned by the government and listed on the NSE, is a crucial player in the region’s reinsurance market.
“The Board believes that this action is in the best interests of the Company and its stakeholders to allow for a thorough and impartial assessment,” Kenya Re stated in a public announcement on Friday.
Kenya Re’s share price has been on a 170% surge this year, closing at KSh 3.46 at market close of Thursday. In the first half of the year, it’s profit jumped 50% to KSh 1.58 billion as investment gains and easing currency losses helped counter weaker insurance revenue. The state-backed reinsurer also strengthened its balance sheet, with assets and shareholder funds recording modest growth.
Dr. Wachinga, who became Kenya Re’s Managing Director in 2023, is a career risk-management specialist with more than 17 years of experience across Africa, the Middle East and Asia. He holds a doctorate in business administration from the University of Nairobi and multiple professional certifications. Before his promotion, he led Kenya Re’s Risk and Compliance division.
However, his tenure has drawn sharp criticism from staff, former employees and shareholder activists. The Consumers Federation of Kenya (Cofek) and whistleblowers have in recent months circulated complaints alleging procurement irregularities, favoritism in staffing, lavish overseas travel and financial mismanagement. Kenya Re’s board has not publicly addressed these allegations.