This archive report was first published on 3 October 2019.
On October 3, 2019, the Central Bank of Kenya (CBK) set a deadline for the conversion of old Sh1,000 banknotes, which had become a preferred choice for money launderers and dealers in fake currency.
During the four-month conversion period from June 1, the CBK captured 3,172 transactions as suspicious and reported them to the authorities.
The transactions, worth Sh7.3 billion, were not returned to the banking system, and the CBK required individuals exchanging large amounts, exceeding Sh1 million, to explain how they acquired the cash.
The move aimed to stop the flow of proceeds of crime, such as corruption and counterfeiting of bank notes, through the financial system.
Investigative agencies, including the Kenya Revenue Authority (KRA), police, and the Ethics and Anti-Corruption Commission (EACC), are urged to aggressively pursue the suspect transactions to uncover unexplained wealth and the sources of illicit cash flows.
This is a critical opportunity for the authorities to restore public confidence in the fight against corruption and theft of public resources.
