Co-operative Bank in Eldoret is under investigation following allegations that a
staff member stole
Sh40 million from customers.
The key suspect, identified only as Dennis, reportedly duped customers to invest money in Treasury bills but the cash went missing.
Branch manager Daniel Kimosop confirmed the incident but said he was not authorised to speak to the media.
“Let me refer you to our senior manager who will talk to you about the problem," he said.
Marketing manager Ngumo Kahigo told the Star that they were handling the matter with the CID.
"Several cases have been reported by clients. We are dealing with them separately and at different levels," Kahigo said on phone on Monday.
He added that action had already been taken against
an employee at the bank who was suspected to have masterminded the theft
from late last year.
Several employees have also been interrogated and have recorded statements.
Dennis is said to have worked at the bank for four months, handling and advising clients on treasury bill investments.
Clients were reportedly advised to withdraw cash from their accounts and deposit it into special accounts where it would attract monthly interest.
Customers who have lost their funds include police officers and Moi Teaching and Referral Hospital
staff.
"I invested Sh750,000 in the so-called treasury bills and was paid the interest for two months through M-Pesa or cash, but the investment became problematic when the employee handling it disappeared," Jane Kimani said.
Kimani
said efforts to recover the cash had been futile as senior staff avoided her questions on the matter.
"The manager keeps telling me to be patient yet there is no explanation on the whereabouts of my money," she said.
Another customer said they could not trace the Sh10 million he invested.
Customers said at some point they were told Dennis worked for Kingdom Securities, a subsidiary of Co-operative Bank.
"We knew him as an employee of the bank because he had a desk inside the bank and even a name tag indicating he was a staff member," said one of the customers who lost their cash.
The key suspect is said to have written cheques to some of the affected customers in a bid to repay the money but these were not honoured.
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