BY correspondent
The proposed acquisition of struggling Jamii bora bank by cooperative Bank of Kenya is raising eyebrows in the financial sector given the Cautionary statement attributed to the takeover.
Insiders’confide that the bank is literally in the red and cooperative bank is going for nothing g but a paper purchase.
The woes bedeviling Jamii Bora Saw the Kenyatta owned CBA bolt out of the last minute purchase of the second last ranked lender by shares standing at position 38 out of 39 commanding a paltry 0.12 percent with 17 branches for NIC.
Tongues are already wagging that the acquisition was one of the sweet deals brokered to let off the hook cooperative bank CEO Gideon Muriuki off the hook for money laundering related charges over the NYS 2 scandal.
The deal has been quietly brokered by Mt Kenya oligarchs to save one of their own a lifeline. A collapse of the Jamii Bora bank would send wrong signals in the struggling financial sector.
It is to be recalled that one of the biggest clients of Jamii Bora bank is the struggling East Africa Cables, EAC, who owes jamii bora millions in debts. The cooperative bank CEO is one of the largest shareholders of the cable manufacturer through holding company
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