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Corporate Fraud

Warning: Theft and corruption has bankrupted Undugu Society of Kenya


Wilfred Onono, Chairman Board of Directors

Exactly a year ago, we warned that the mismanagement and level of theft at the Undugu Society of Kenya would collapse it. has received a new document revealing that the firm cannot service most of its staff obligation such as remitting statutory deductions and pension payments.

The management at Undugu Society of Kenya (USK) is quick to bribe any government agency that the staff have reported them. Staff claim that this s why no news of the corruption and plunder has been published anywhere else.

‘They have bribed all the institutions questioning it’s integrity and transparency thus eliciting worries. This organization has bribed RBA (Retirement Benefits Authority), NGO coordination board and even our scheme fund administrator (Liaison Insurance ltd)to thwart efforts.

At USK, it has been looting spree for successive management. This has caused worry and anger to former and current staff.

“Former employees of the said organization are undergoing traumatizing situation following persistent efforts to make Undugu remit the deductions for our pension, NSSF, leave allowances, accumulated leave days, long service awards and staff welfare deductions”, wrote the whistleblower.

Alex Masibo, Executive Director, Undugu Society of Kenya.

The society which sources funds from donors has not been in good books with some of them despite changing the management and board members to appease some of who have received complaints about corruption at USK.

Exposed: Corrupt Board Is Collapsing Undugu Society Of Kenya

Whistleblowers accuse the management of eyeing the sale of a prime property, Arnold Plaza, in Westlands in case the society goes down.

“The board is not worried because, when Undugu goes down, the property to be sold to settle debts will line up their pockets; it is a theft spree they cannot wait for. So they are like speeding the collapse of the organisation.”

USK owes staff over Sh10 million in unremitted payments. The figure does not include the interest accrued for the entire period that the organisation failed to remit.

Leonard Membo, Chairman Board of Trustees

The Directorate of Criminal Investigations (DCI) and the EACC should move with speed to investigate and arrest the looters of this organisation. The welfare of the Children that the society cares for is now in jeopardy.



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