Kenya Re suspends MD Wachinga for 21 days

Kenya Reinsurance Corporation Limited (Kenya Re) has suspended its managing director Hillary Wachinga for 21 days, with effect from September 3, in a decision made by the board “following a preliminary review of internal matters, which is ongoing.”

Company secretary Charles Kariuki, in a statement, said the board believes the action is in the best interests of the listed reinsurer  and its stakeholders, to allow for a thorough and impartial assessment.

“The board has appointedNicodemus Gekone, currently the general manager property and investments, to serve as the acting managing director during this period. The board has full confidence in Mr. Gekone's ability to provide steady leadership during this period,” the statement reads in part.

This, as the board of directorsreaffirmed its “unwavering commitment” to the highest standards of corporate governance and to protecting the interests of all its shareholders and stakeholders.

“We remain focused on executing our long-term strategy and assure our stakeholders that our foundations remain strong and our business operations continue uninterrupted,” it said, “The board will provide further updates as appropriate. We thank you for your continued trust and support.”

Listed on the Nairobi Securities Exchange, Kenya Re is the oldest reinsurer in Eastern and Central Africa. It was established through an Act of Parliament in December 1970 and commenced business in January 1971. Its core activity is providing reinsurance services for most classes of business.

Since its inception, Kenya Re has progressively and consistently continued to provide reinsurance services to more than 482 companies spread out in over 83 countries in Africa, Middle East and Asia.

In 2004, the Corporation made an effort to benchmark its services with international standards by subjecting itself to a rating process by an International rating Agency, A. M Best.It was rated B (Fair), a rating it has successfully maintained over the years.The Corporation is also rated AA+ by Global Credit Rating (GCR).