Very solid results Kemei cannot say he fired the CEO on performance. As someone said this stock needs activist investors the board needs an overhaul.

https://www.businessdailyafrica.com/corporate/companies/Kenya-Re-hits-Sh3-5bn-profit-on-premiums-rise/4003102-4364396-wvs8kiz/index.html

Mr Mbeshi observed that the firm is dealing with stiff completion from domesticated reinsurers in countries like Ethiopia and Uganda.
Kenya Re Board chairman David Kemei however said the firm plans to leverage on its five year strategy that will see it invest in foreign reinsurers in efforts to remain relevant in countries it has operations.

18bn in cash and near cash. How much cash does KQ have?
That said, by 2020, that 18bn could be wiped out!

How i wish Joseph Kinyua could think and convince the executive to sell this firm and the billions earned can go into reducing their debt. And MOST importantly Kenya Re value would be unlocked.

Investing in foreign reinsurers is a good idea.If done wisely could provide better returns/higher yields than investment in government Securities

https://www.cnyakundi.com/letter-to-nyakundi-fired-kenya-re-insurance-corporation-limited-md-mr-jadiah-murungi-mwarania-was-not-a-good-man/


Letter To Nyakundi: Fired Kenya Re-Insurance Corporation Limited MD Mr. Jadiah Murungi Mwarania Was Not A Good Man[/b

Hey Sir,



First is to appreciate you as a person and your zeal to take on the big shots riddled with scandals. We want to hand you a big one from Kenya Re, a certain Jadiah Murungi Mwarania.

On behalf of my colleagues, I would like to formally set the records straight on the actual facts on the circumstances that led to laying off of our boss. It is far from what he is leading the public to believe in. Unfortunately, we are surprised that the board has decided to keep mum as the guy destroys the brand of this company which he committed to protect when he signed confidentiality agreement with Kenya Re several years. He is bound by code of ethics in the Mwongozo Code and State Corporation’s Act from disclosing to public matters that are discussed in the boardroom. We are actually surprised by how petty our board and senior management can be since we rarely know what goes on at the top.



1. Performance



In my over 20 years working experience at Kenya Re, I have never known this fellow as a performer. Be it in bed or in the office. He is a specialist in shifting responsibilities and blame to others as he prefers to fly all over the world, drink the whole night or sleep with his many women in the office. In last year’s performance appraisal, he was rated lowest and was among less than 10 staff who did not receive performance bonus out of close 200 staff workforce. Last week, the grapevine was rife with an interesting fact that all board members got an average over 85% in board performance review while MD got a paltry 60%. This is an exercise where the government requires fellow board members to rate each other and then an aggregate score score is issued to individual member with the result sent to the parent ministry. This makes the approach to be free of tribal or personal biases. In the past, he could have scored highly since he was sleeping the former board chairman – something known by all and sundry. Right now, no one is interested in his shriveled ass since the board is full of professional ladies and gentlemen of high integrity.

He claims that he doubled insurance premiums from 7 billion shillings when he took over in 2011 to 14 billion shillings when he was sacked. This is just wishful thinking. The company recorded organic growth that had nothing to do with him. If you compare private companies that compete with us such as PTA Re and East Africa Re, they did much better considering they are not helped by mandatory business like us. Government assists Kenya Re perform better through Kenya Re Act of 2007 that makes it mandatory for all insurance companies licensed in Kenya to be insured by Kenya Re. So, automatically, without any individual effort but government law, Kenya Re grows on its own. During the period when he was in the office, the government increased compulsory business from 15 to 20%. His contribution can relate to loss-making business he brought in from India, Iran, Syria, South Sudan, Somalia and other war torn African countries as part of his corrupt dealings. This business introduced high claims that have been wiping off underwriting profit from Kenya Re’s books during his entire stay in the office. Can you judge the man from the underwriting profit he recorded in each year from 2011 to 2016 – negative. Only losses.



2. Corruption



Murungi has a net-worth of closer to 1 billion shillings from a monthly salary of less than 2 million shillings thanks to corrupt opportunities he has exploited at Kenya Re. The man is wired differently from the saint he has been trying to project lately through paid media. This guy is as corrupt as they come. For the entire time I have known him, he has swindled the company. Before occupying the big office, he travelled a lot looking for international business. He was always forging receipts to get higher reimbursements than his actual spend. He then climbed to higher things when Kenya Re was appointed the receiver manager of United Insurance Company (UIC). He, together with the current internal audit manager, were the first to arrive at UIC. They ransacked their offices. They took away with cash and office furniture. He then influenced the board to appoint Ole Sialo as the fulltime receiver manager with the Maasai man moved from Kenya Re to UIC for 10 years from 2005 to 2014. This is when grand theft started. The three individuals went ahead to loot over KShs 2 billion from UIC by allotting themselves policyholders land and fraudulently selling the rest. This is where the man got money to set up the Greenspan estate in Athi River, buy homes in Karen and Runda. He partnered with Chapter Valuers to steal more money from both UIC and Kenya Re via “valuation services”. From UIC, the valuers made over 90 million shillings valuing non-existent land. This trick was applied to Kenya Re where the valuers made over 100 million shillings valuing lands that are no longer in the hands of the Corporation such as Kiambu Road land valued at 15 billion and Shanzu Prison land valued at 800 million. In UIC case, the valuers did the work without any contract and Murungi intimidated management to release their payment then got his cool 50 million. From Kenya Re valuers by Chapter valuers over the past several years, Murungi has made over 200 million.

In 2013, Murungi convinced the board to put 1.5 billion shillings into PTA Re and made a cool 50 million as a transaction broker and has been sitting in the board of this company ever since. In 2011, he convinced the board to open a subsidiary in Ivory Coast. The subsidiary has several Ivorians led by regional manager. Interestingly, he is deputized by Murungi’s former girlfriend who is fellow Mmeru, Lucy Kagwiria. The Ivorians work is limited to marketing while money matters are handled by Kagwiria. Murungi, through Lucy, has milked hundreds of millions from Ivory Coast ever since. Lucy’s kids go to international schools and bought a 30 million maisonette in Lucy but her salary is less than 250k a month. The subsidiary is loss making venture and is whole through which a lot of shareholders money is getting misused. To continue with his games, he convinced the board to open another subsidiary in Zambia. The process was hastened with Murungi telling the press about it long before Ernest & Young were called in to sanitize the process after it had taken place. After stuffing the subsidiary with Zambians, he then stealthy moved his hitman Ole Sialo to deputize the Zambian regional manager. The Zambian’s work was limited to marketing while Sialo handles money. This Sialo man was the same guy assisting in grand theft at UIC. Murungi has since then been milking money from the Zambian subsidiary with the assistance of Sialo. SO far, it is estimated he has made close to 100 million shillings. Sialo himself drives a loan-free Prado VX and his kids goes to international schools abroad. The most recent theft by Murungi has been through crazy spending on IT softwares.

In 2016, he convinced the board to write off debts closer to 1 billion shillings owed to Kenya Re by international insurance companies, mostly from India. This made him walk away with hundreds of millions. These companies had actually paid money to his accounts and accounts of brokers who partner with him to loot from Kenya Re. You and I know mhindis don’t have a problem playing it dirt when it comes to money. To perpetuate this game, he brought onboard his former classmate and girlfriend, Miss Esther of Levitts Reinsurance Brokers who is the former CEO of Clarkson & Cutts insurance brokers. She now owes Kenya Re hundreds of millions that she has been promised will be written off after a few years. The game is a sure-win since the current general manager of reinsurance was in the same class with these two, sleeps with Murungi, was part of the write off process and is a conduit if bad & fictitious business from India and war torn countries.

In the past 5 years, he has convinced the board to spend over 1.5 billion shillings on softwares all supplied by Indian firms. Together with the current ICT manager and the Indians, Murungi has walked away with hundreds of millions from these softwares. Business is doing well. Njuguna of ICT department has put up 2 loan free block of apartments in Buruburu and Ruugia a loan-free 5 bedroomed maisonette at Membley and 20 acres of tea bushes in Meru. Luke is building apartments in Chuka and bought 5 acres Miraa farm in Maua.



Confessions from his countless women disclose the man is useless in bed and likes having it from drive B. Simply put, he is a non performer in bed and in office.



3. Management style



With track record as non performer, Murungi picked grudges with any person who appeared to do better than him in anything. A mere confession from women that you do magic between the sheets is enough to have Murungi hate you for a lifetime. He has over years treated staff with contempt and was always abusive. He surrounded himself with tribesmen and women and foolish guys who adored him. His bile was reserved for the rest starting with the acting boss Mbeshi, his assistant, legal, risk and claim managers who he humiliates at all times. He has this habit of abusing or dressing you down in front of your juniors or visitors. He looked down upon the local insurance bosses and never visited them for business because the government forced them to give Kenya Re the 20% compulsory business. This contempt was extended to people in his private life especially his relatives and wives whom he treated like dogs. Murungi does not have a wife and his many kids are languishing in the slums of Githurai and Meru. Simply put, the man is heartless. To fend off competition, he partnered with Chapter Valuers to set up former CFO and convinced the boss to sack him. He has managed this insurer like a small kiosk in Meru where he dishes favours left, right and centre. Sycophants are rewarded with per diems from overseas trips, huge bonus and promotions. The rest of us tunakanyangiwa promotions, get zero bonuses and are not allowed to fly out the country even when our work demands so to make sure we don’t get per diems. We are glad Kemei has tried to streamline this area but so as Sally is charge, we fear nothing will change.



4. Morals



The man has zero morals due to his corrupted nature. On top of this, he is a confessed devil worshipper and has zero chills when doing the kinkiest of the sex acts. He swings both ways. His office wives and eunuchs are untouchable. The wives are HR boss, reinsurance and deputy Alice, the CFO,assistant property manager, supply chain manager, records manager, marketing manager, corporate affairs boss and deputy, Nkonge and Kagwiria of Ivory Coast. His 3 eunuchs, Kaaria, Ruugia and Kiunga, are from his Meru tribe. He started leeping with the reinsurance women many years ago when he was an assistant manager. The CFO even has his daughter who bears his skin colour and she was rewarded by promotion from manager to GM without conducting any interviews. She finished an MBA from Moi university in a record time of a few months and presented the MBA certificate to board since it was prerequisite for the position. It has not been unusual to find them having orgies in his office during after office hours. In one careless photo leaked when her computer was repaired by IT boys, one of the ladies is seen lying naked on the CEO’s table with no shame. These men and women have always had their way and been pampered beyond belief. They get higher salaries than other staff within their grades and earn more from per diems when they travel with him all over the world. If your wife holds one of these positions, my brother, you don’t have a wife there! Bure kapsaa. Because of the power these staff wield, they in turn mistreat fellow staff and make them feel it. They closely monitor the movement of their “office husband” and don’t report to work if they confirm he is not in the office. His eunuchs have rarely cheated on him with anybody in this office and he can rest assured they dearly miss him.



He totally destroyed all those who blocked his advances. A former supply chain manager, Madam Esta, is now dead after she refused to give in to him. Her kids are destitutes, just like Murungi’s kids, after he pushed their mother to an early grave and refused to attend her funeral service in Holy Family Basilica. It all started one day a few years ago when Kenya Re took its staff out of town for team building. He uses such events to “hit them up”. On the fateful day, he followed Esta the whole day. In the evening, he followed her all the way to her room but she refused to open. He ashamedly refused to burge and waited out of her door for hours till he told himself to go



5.[b] Shenanigans with the BoD



As you can see, Murungi has had personal and professional issues that would have made any reasonable BoD kick him out years ago. Unfortunately, he had many sympathizers from his community who protected them. He munched the former chairman of the board and had his way for a while. He ran out of luck when leadership of the board landed in the hands a no-nonsense Ruto camp fellow, David Kimei. As members of staff, we have been watching the tension between the two while silently wishing Kimei would push out Murungi as we have really suffered under him. When it finally happened, we celebrated like mad fellows.



We will be thankful if you air this story soonest.

God bless and protect you.

Adious

Best Regards,

All Kenya Re staffers