A massive fraud scheme targeting Kenya’s healthcare system has been uncovered, exposing how millions of shillings meant for medical care may have been siphoned out through ghost treatments, fraudulent claims and questionable medical facilities.
The Director of Public Prosecutions has now moved decisively after the Milimani Law Courts issued arrest warrants against 20 individuals and eight medical facilities allegedly linked to the scandal involving the Social Health Authority (SHA).
The case centers on an alleged scheme where medical facilities were fraudulently registered and claims submitted for medical procedures that investigators say were never performed.
According to prosecutors, the scheme drained approximately KSh 28 million from public health funds.
The warrants of arrest were issued after the suspects failed to appear in court to answer to criminal charges approved by the DPP.
Prosecution Counsel Joyce Olajo successfully applied for the warrants after informing the court that the suspects had ignored summons requiring them to present themselves for plea taking.
Investigators believe the network behind the fraud used a combination of fake patient claims, unauthorized access to digital health systems and questionable billing practices to siphon money from the Social Health Authority.
Those now facing arrest include Ibrahim Rashid, Ahmed Mohamud Adan, Kamsia Hassan Kala, Hawa Alinoor Malo, Naima Sheikh Ali, Adhihakim Sheikh Ali, Adan Adikhaliq Abdullah, Yussuf Siat Jelle, Mohammed Kulow Ali, Hassan Adan Ibrahim, Mohamed Mohamud Sheik, Ali Ahmed Adan, Mohamednoor Ismael Omar, Ismail Omar Mohammed and Ali Adin Ibrahim among others.
But the alleged fraud was not limited to individuals.
The DPP has also recommended criminal charges against eight medical facilities suspected of being central to the scheme.
The facilities include Kaafi Nursing Home, Dimtu Nursing Limited, Mama Nerbeel Nursing Home, Kamsihawa Medical Centre, Adfeel Kids Care Medical Centre Limited, Julun Nursing Home, Danaba Care Hospital Limited and Alati Nursing Home.
Authorities suspect that some of these facilities may have been used as channels to submit fraudulent medical claims under the Social Health Authority system.
The charges approved by the DPP paint the picture of an elaborate fraud network.
They include conspiracy to defraud, operating unlicensed health facilities, acquisition and use of proceeds of crime, unauthorized access to computer systems, computer fraud, obtaining money by false pretence and abuse of office.
In a related development connected to the same investigation, Harun Liluma has already been charged in court.
Liluma appeared before Senior Principal Magistrate Theresa Nyangena where he pleaded not guilty to charges of conspiracy to defraud, unauthorized access to computer systems and abuse of office.
The court released him on a bond of KSh 1 million with two sureties or a cash bail of KSh 500,000 alongside two contact persons.
Prosecutors say the offences were allegedly committed on diverse dates between January 30, 2025 and August 25, 2025 within the Republic of Kenya.
The matter will be mentioned again on March 12, 2026 as authorities move to trace the remaining suspects and piece together what investigators believe could be a wider network exploiting Kenya’s public healthcare system.
The unfolding case raises troubling questions about the vulnerability of Kenya’s health financing systems.
Billions of shillings flow through public health programs each year.
But cases like this suggest that weaknesses in oversight and digital controls may be allowing well organized fraud networks to quietly siphon off funds meant for patients.
For now, the hunt for the suspects continues.
And the spotlight is once again on how corruption continues to infiltrate sectors that Kenyans depend on the most.
