Investigations

Fears Confirmed: Chase Bank Insider Fraud Scheme Exposed Further

As we illustrated in our initial revelation of a yet another Chase Bank Insider Fraud Scheme a lot has happened under the few hours that Kenya Insights broke the story going further to confirm the worst of many fears that the bank in actively engaging in unethical business dealing targeting customers who take loans with them.

In an instance that we categorically elaborated , a customer who had paid her monthly instalments without default had her loan item repossesed in a clear fraud scheme that bank agents work with auctioneers to frustrate their borrowers inflicting them with the pain of incurring extra charges through their fraud scheme.

Loan agreements stipulates that an item can only be repossessed when the borrower defaults the terms. This is the loophole rogue agents at the bandaged bank are banking on by forcing a defaulting situation. In this case October’s settlement was paid in September through RTGS as of the bank’s directive but they instead credited a different account belonging to the same customers in a deliberate step to create a loan default.

Many sympathizers with the bank jumped into their defense saying the borrower has defaulted the loan and that the campaign highlighting the scheme was malicious , Chase Bank stupidly enough ,  engaged misinformed and pre programmed on hire bloggers to come online to discredit the unchallenged evidence that Kenya Insights tabled. Talk about stooping beyond low.

The bank’s management knew better that in such a situation the best is to closely monitor the case, find the responsible managers in the scheme and take necessary action instead of engaging in juvenile crisis management that again exposed vulnerabilities and knowledge of the wider scheme.

It didn’t come as a surprise that the customer whose case was used to expose the scheme received urgent communication from the bank’s top management with immediate instructions to the auctioneer to release their held tractor. Now listen, the tractor which was being held supposedly over loan default which was created by the fraud managers, was promptly returned to the customer and the bank went further to cover all the storage expenses , suspicious much ?  So it had to take Kenya Insights highlighting the story for the bank to realize they were holding an item illegally ? If the customer genuinely defaulted loan you bet right the bank wouldn’t have for any reason released it but go through all legal process . The induced release goes to confirm that indeed this is a larger fraud scheme that’s going on in the bank and you can be sure it’s not only at Chase Bank .

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What should worry Chase Bank customers is not this particular case but a high possibility that this fraud scheme could be in wider play , a major crisis and an alarm to borrowers. How many cases of such harassment and thievery go unreported ? Think about that Chase Bank customer deep in some remote area without a voice without any channel to air their grievance and only buying the word of his banker who in this case happens to the the robber . How many millions are customers losing to such schemes with managers eating off the mysteries of their own trusting customers.

Chase Bank has a lot as far asregaining stability is concerned and it’s hurting that the bit of trust that it’s hanging on, conniving directors are crushing the crushed glasses of trust they once had in the bank . Central Bank an the Bankers Association need to seriously deal with such schemes that are contributing to more dwindling of confidence in the ailing Kenyan Banking system.

The last time Chase Bank collapsed the management was quick to put blames on the social media pulling focus from the real situation which was the directors who through insider fraud schemes looted and crippled the bank. Our work is to expose frauds that at the end cost innocent customers. Chase Bank management must come out to give customers sureties and punishing involved managers but until then, potential and existing borrowers have genuine issues to worry about and even reconsider taking loans from the bank which as of now has scared away potential bidders who wanted to take over the bank running under KCB management . Not again shall Insider Fraud schemes go unreported as we will do so at the earliest stages detected to prevent customers from getting a surprise.

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