Tanzania’s former Bank M chief executive officer, Sanjeev Kumar, was charged with fraud and money laundering following the collapse of the institution, which had assets valued at nearly $500 million as of August 2018. The charges emerged two months after the central bank revoked the bank’s license, prompting regulatory intervention.
Kumar, 63, denied the allegations during a court hearing in Dar es Salaam, where he was remanded in custody. Tanzanian law typically denies bail to suspects in money laundering cases, according to court records. The central bank had assumed control of Bank M’s operations amid severe liquidity issues before transferring its assets to Azania Bank in January 2019.
Court filings indicate Kumar faced multiple counts, including fraud, obtaining funds through false pretenses, and money laundering. The case highlights broader challenges in Tanzania’s financial sector, where nearly half of the country’s 45 banks were deemed vulnerable to insolvency risks in December 2018, per an International Monetary Fund report.
