How KCB Bank Colluded with Fraudsters in an Inside Job to Steal KES 24 Million from a Dead Man’s Estate
A shocking High Court judgment has exposed serious failures at KCB Group Plc after the bank was ordered to refund more than KES 24 million belonging to the estate of the late Nathaniel Kibitok Sieley, whose account was emptied using what the court found to be fraudulent succession documents.
In a judgment delivered on September 19, 2025, in Civil Suit No. 23 of 2019, Justice JRA Wananda of the High Court in Eldoret found KCB and the manager of its Nandi Hills Branch liable for breaching their duty to safeguard funds belonging to the deceased’s estate.
The case was filed by Elizabeth Chelimo Sieley, Andrew Kiprop Bitok Sieley, Jonathan Kibiwott Bitok Sieley and Peter Kipkorir Bitok, who sued as administrators of the estate of the late Nathaniel Kibitok Sieley.
The administrators told the court that KES 24,069,373.60 held in the deceased’s KCB Nandi Hills account was illegally and fraudulently withdrawn on February 14, 2019, after an individual allegedly presented a forged Grant of Letters of Administration.
The fraud allegedly began years earlier when a person claiming to be Sieley’s son filed a succession case at the High Court in Nakuru in January 2013, falsely representing that Sieley was deceased.
Although Sieley later died in March 2013, his genuine family eventually obtained a valid grant from the Eldoret High Court in 2018. It was while seeking information about the estate’s bank accounts that they discovered that millions had already been withdrawn.
The court found that KCB failed to conduct proper due diligence before allowing the transaction to proceed.
Justice Wananda questioned how the bank could release such a large amount of money without obtaining sufficient details about the person receiving the funds.
The judge noted that KCB failed to produce records proving the identity of the alleged recipient, Luke Kimutai, including basic information such as verified identification documents, residence details, telephone contacts, employment details or other particulars that would normally be maintained during a major financial transaction.
The court further expressed concern that the bank failed to provide CCTV footage or other evidence showing that the alleged recipient physically appeared at the branch to conduct the transaction.
The judge also questioned why no indemnity document was signed by the person receiving the money, despite evidence that such documents are ordinarily required for major payouts.
“For pay-out of such a colossal amount of money, I find it too reckless for the Defendants to have effected such a huge transaction without at least demanding supply of any documentation or details of the payee,” Justice Wananda held.
The court found the bank’s explanation that the funds were transferred to an account allegedly belonging to Luke Kimutai unconvincing because KCB failed to produce evidence proving the money actually left the Nandi Hills account.
According to the judgment, the bank statement produced only showed an “online closure” entry with a zero balance but did not provide details of an actual transfer, recipient account information or acknowledgment from the alleged beneficiary.
Justice Wananda further faulted KCB for failing to freeze the alleged recipient’s account after learning about the fraud, despite admitting that the bank had powers to restrict suspicious accounts.
The High Court ordered KCB and the branch manager to restore the full KES 24,069,373.60, together with interest from February 14, 2019, until payment in full. The bank was also ordered to pay the estate’s legal costs.
The ruling raises fresh questions about the safeguards used by banks when handling deceased customers’ accounts and the responsibility financial institutions have to detect fraudulent succession claims before releasing estate funds.
