NAIROBI, Kenya — President William Ruto announced on Wednesday that the Kenyan government has closed 1,000 healthcare facilities for allegedly falsifying medical claims submitted to the Social Health Authority (SHA).
This significant crackdown is part of an ongoing extensive investigation into a widespread fraud network, where numerous healthcare providers are accused of illicitly converting outpatient visits into inpatient claims and facilitating unnecessary patient admissions.
An internal Ministry of Health report, obtained by Vivid Voice News, reveals the intricate nature of the scheme, indicating that in some instances, “ghost patients” were admitted to facilities that were already operating at full capacity. This alleged fraudulent activity is estimated to have defrauded the government of nearly Ksh 100 million.
Speaking at a diaspora townhall in London, President Ruto affirmed the government’s decisive action: “We have closed down 1,000 fake hospitals and we are closing a few more in the next coming days because they want to change in-patient services to out-patient so they can claim more money.”
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Health Cabinet Secretary Aden Duale had previously disclosed over the weekend that his ministry had initiated the closure of 35 health facilities based on similar allegations.
Additionally, an official from the Ministry of Health confirmed that the SHA has suspended services at several facilities linked to the scheme across more than 10 counties.
President Ruto highlighted the pivotal role of technology in uncovering these fraudulent activities. During the London townhall, he explained, “With the use of technology to verify claims, admissions, discharge, and claims are now digital and easy to track. That is why it is easy for us to discover these cases.”
Furthermore, Minister Duale’s ministry has indicated that certain patients are also implicated in the scam, with some allegedly sharing personal hospital codes to inflate claims submitted to the Social Health Authority (SHA).
