The man who warned Kenya agaisnt Dubai Bank, but whose dossier was ignored by former central bank of Kenya Governor Prof Njuguna Ndung’u, until Dubai Bank was weeks ago declared bunkrupt, is again sending warning against one of Kenya’s household Banks -Equity.
According to Billionare Jacob Juma, Equity Bank is a financial time bomb waiting to explode. It is a ponzi scheme of gigantic proportions.
This, he said, after news of silent exit of former Kenya Wildlife Service Director Julius Kipng’etich to Uchumi points to sticky management issues as he believes Kipng’etich’s exit is the lull before a storm.
“As a shareholder of Equity,  Dr. James Mwangi should hand over management to other competent managers. This will stop the bank from imminent collapse.” says Juma. “Equity’s James Mwangi has no monopoly of knowledge. How can a NSE public listed bank with many depositors be left in the hands of one man?”
The billionaire added Equity Bank Ponzi scheme (sic) is not even worth 10% of Madoff’s investment scandal whose fabricated gains was $65 billion &Â actual loss was $18b.
“Kenyans are sincerely ignorant about banking. Equity bank is a time bomb in waiting. Benard Madoff’s Ponzi scheme collapsed with $18 billion”
“Why would Julius Kipng’etich, my former lecturer at UON exit Equity Bank for Uchumi? Kipng’etich is a proud man. He doesn’t tolerate vices”.
“The next Ponzi Scheme bank to collapse will be Equity Bank. The bank is protected by State Presidents. It’s a ‘one-man show bank. Ponzi Scheme Banks normally collapse when their godfathers exit scenes of protection. Dubai Bank collapsed when former CBK Gov. Ndungu left,” he said.
Kenya Today