Absa Bank Kenya finds itself under intense scrutiny after two companies lodged a formal complaint with the Directorate of Criminal Investigations accusing the lender of fraud, collusion and the unlawful disposal of valuable properties.
The allegations paint a troubling picture of how the bank handled securities tied to large loans and raise sharp questions about transparency and fairness in its recovery process.
Kimani Operations Limited and Kimani Ventures Limited claim Absa advanced them facilities worth hundreds of millions of shillings in 2021 and 2022. One firm secured 195 million shillings against the Twin Towers properties. The other borrowed 130 million shillings using land in Eastleigh as security.
According to their lawyers, the bank has refused to provide a complete and clear record of the loan accounts. They say Absa has failed to show exactly how much was disbursed, what payments were made, how interest and charges were worked out, and what the true outstanding balances now stand at.
The most serious charges revolve around the way Absa allegedly sold off those properties.
An auction was advertised for 7 July 2025. That day Nairobi was under heavy restriction because of the Saba Saba demonstrations.
Roads were barricaded and movement across the city was tightly controlled. The companies argue it is difficult to accept that a genuine public auction with open competitive bidding could have taken place in those conditions.
They have asked investigators to determine whether any real bidders were present or whether the sale was pre-arranged and merely presented as a public process.
Two newly formed companies appear to have acquired some of the properties. Astralis Verge Limited was incorporated on 15 May 2025 and Samatar Solutions Limited on 2 June 2025, both just weeks before the disputed auction.
The lawyers want the DCI to examine the ownership of these firms, the source of their funds, their bank transactions and any communications connected to the purchases.
They have also highlighted the role of auctioneer Serah Njeri Wamwea, whose business premises are said to be in the same building where the auction was scheduled to occur. That overlap, they say, creates a clear appearance of conflict of interest.
Despite the purported sales, Absa continues to demand approximately 394.8 million shillings from the two companies. The firms say they have never received the basic documents that should accompany any lawful auction, including the attendance list, bidding register, reserve price, highest bid, memorandum of sale or proof of how the proceeds were applied to the loans.
They further allege the properties were deliberately undervalued so they could be disposed of below their true worth. After taking possession, the bank is reported to have begun collecting rent from some of the buildings.
A second auction held on 30 July 2025 involving Eastleigh property has only deepened the suspicion. The companies want to know why another sale was necessary after the earlier one.
Their advocates have called on the DCI and the Banking Fraud Investigation Unit to investigate Absa, its officers, the auctioneers and the purchasing companies for possible offences including conspiracy to defraud, fraudulent misrepresentation, unlawful acquisition and disposal of property, and abuse of the statutory power of sale.
The dispute is already before the courts as the companies challenge the alleged sales. Their lawyers stress that these properties represent long-standing investments and important sources of livelihood for the directors and their families.
They have urged investigators to act quickly so that any irregularities can be exposed and the true position of the accounts established.
