According to the lender’s sustainability report covering events up to December 2018 show that Kenya Commercial Bank was faced with 1,213 attempts of fraud. The Bank however has not disclosed how many of these attempts were successful and how much money was lost, but notes that it sacked 10 employees last year over the same.
In the sustainability report, KCB states that it has a zero-tolerance policy for all forms of corruption, bribery and unethical business practices. KCB requires all employees, as well as service providers, to adhere to the Group code of ethical conduct. Court cases show that last year August, four KCB employees were arrested over alleged theft of Sh72 million. Two workers were also arrested in Wundanyi over loss of Sh21 million. It was also the same year KCB lost over Sh52 million when thieves dug into the strong room of its Thika branch.
The major challenges in the financial institions are, fraud, illicit money flows, money laundering and cyber security which needs a proper approach to manage.