Former NSSF manager Francis Moturi jailed for 14 years over Ksh.1.2B fraud

High Court Judge Nixon Sifuna, in upholding the 2022 fine and jail term, determined that Moturi’s actions resulted in significant financial losses for the pension fund. 

Moturi’s bid to have the high court overturn his conviction and sentence, initially imposed by Chief Magistrate Lawrence Mugambi in 2022, was declined. 

Moturi, who had been head of the department responsible for purchasing shares, was fined Ksh.2.6 billion and sentenced to 14 years in prison for his role in the Ksh.1.2 billion loss at the pension fund.

He was convicted alongside officials of Discount Securities Limited (DSL) among them Isack Nyakundi, Wilfred Munyoro, and David Githaiga. Discount Securities Limited was also convicted.

Dissatisfied with the verdict, Moturi and the other parties appealed. However, Judge Sifuna upheld their convictions and sentences, emphasizing the importance of accountability in the management of public funds.

Trial Magistrate Lawrence Mugambi fined the three former DSL employees Ksh.803 million each or 12 years in jail.

Discount Securities Limited was directed to pay a fine of Ksh.4 billion for failure to which its assets were to be auctioned.

The convicts were accused of defrauding NSSF by purchasing non-existent shares between August 2002 and July 2007.

 As the investment manager, Moturi was expected to act with diligence, prudence, and honesty according to the high court.