A former manager of Insurance Company East Africa (ICEA) has been found guilty of stealing more than Sh62.7 million from his employer through collapsed Nyaga Stockbrokers.
Milimani Law Courts chief magistrate Francis Andayi said a former ICEA manager, Lincolin Kivuti Njeru, stole the money, dismissing his defence that “it was an investment loss.”
Mr Andayi said that from the audit reports, evidence by the prosecution and the chain of cash transactions, it’s clear Njeru stole the millions.
Mr Njeru, 58, received the Sh62.7 million through Nyaga stockbrokers for sale of ICEA share investments and channelled the proceeds to his personal accounts.
The millions were supposed to be wired to the insurance firm’s accounts, but Mr Njeru who was then an investment manager at the firm said the cash got lost through erosion of share value at the Nairobi bourse.
“From the totality of evidence presented by the prosecution the losses experienced by ICEA were correctly linked to the accused person and not as investment losses as he purported,” Mr Andayi stated in his lengthy judgment.
Mr Andayi said the accused could not explain the source of the millions of shillings he held in his bank accounts.
The magistrate ruled that Mr Njeru was guilty of stealing Sh62,704,835.60 from ICEA, and will be sentenced on Friday.
The court said the money deposited in the accounts of ICEA were withdrawn and deposited into the personal account of Mr Njeru.
The offence took place between January 17, 2003 and September 20, 2005.
Through defence lawyer Stanley Kang’ahi, Mr Njeru pleaded for mercy saying he has been out of employment for the last 12 years and that he is the sole bread winner for his family.
Mr Kang’ahi asked the magistrate to give the accused a second chance to redeem his life then continue serving his family as he is remorseful and regrets the loss.
He pleaded for a non-custodial sentence.
Mr Andayi called for a pre-sentence report from the probation department before pronouncing his sentence.
The court cancelled the accused bond then ordered he remains in custody until he is handed down a sentence.