How Ex-SHA CEO, officials allegedly defrauded health fund of Sh17.5 million
National
By
Nancy Gitonga
| Oct 31, 2025
Former Acting Social Health Authority (SHA) Chief Executive Officer Robert Ingasira and three others have been charged with defrauding the State agency of Sh17.5 million through fraudulent medical claims allegedly submitted to the authority.
Ingasira was charged alongside Arthur Otula, Rosemary Daraja, and Peter Abuna over the alleged loss, which prosecutors claim was channelled through Archprime Medical Clinic in Oyugis, Homa Bay County.
The four appeared before Milimani Chief Magistrate Lucas Onyina, where they denied seven counts, including conspiracy to defraud, falsification of health information, acquisition and use of proceeds of crime, and uttering false documents—offences contrary to the Penal Code, the Social Health Insurance Act, and the Proceeds of Crime and Anti-Money Laundering Act.
According to the charge sheet, the accused, jointly with others not before court, conspired to defraud the Social Health Authority of Sh17,591,473 by submitting falsified medical claim documents purporting to be genuine between October 2024 and May 2025.
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The prosecution alleges that false medical records for patients named as Edna Amondi Dulo, Maureen Atieno, and Alice Akinyi Oburu were presented to the SHA as legitimate treatment claims. Payments were then processed to Archprime Medical Clinic, allegedly owned by the first accused, Otula, benefiting his co-accused, including two former SHA chief executives.
State Counsel Victor Owino told the court that the fraud was executed through manipulation of medical claim forms and records submitted to the SHA with the intent to unlawfully obtain payments.
“The alleged fraud was executed through falsified health claim forms and records intended to access benefits not lawfully due,” said Owino. He urged the court to consider the large sum involved when setting bail, although he did not oppose the release of the accused.
“We are not opposed to bail but ask the court to weigh the public interest and the significant amount allegedly misappropriated,” the prosecutor stated.
Chief Magistrate Onyina released each of the four accused on a cash bail of Sh500,000 or an alternative bond of Sh800,000, each with one contact person as surety.
“The accused shall be released on a cash bail of Sh500,000 each or a bond of Sh800,000 with one surety. They must attend court as required and must not interfere with witnesses,” ruled Onyina.
The court also issued summons for former SHA CEO Elijah Wachira, who faces related charges but failed to appear in court for plea taking. He has been ordered to present himself on 11 November 2025 to answer to the charges.
Defence lawyers Peter Wanyama, Timothy Okello, and Ken Echesa pleaded for lenient bond terms, insisting their clients were not flight risks and had cooperated fully with investigators.
“The accused persons have been cooperative and are willing to comply with all court conditions,” said Mr Okello.
Mr Echesa urged the court to consider Ingasira’s service to the institution, describing him as a career public servant deserving of leniency.
Daraja’s lawyer pleaded for compassion, noting she is a jobless mother of a five-year-old child with minimal involvement in the case.
The court directed the prosecution to supply all witness statements and documentary evidence to the defence within 21 days, ahead of the pre-trial hearing scheduled for 11 November 2025.