Equity Bank refutes lending Sh15bn to DP Ruto-linked Harun Aydin

Equity Group Chief Executive Officer James Mwangi. FILE PHOTO | NMG

Equity Bank #ticker:EQTY officials appeared before a parliamentary committee on Wednesday to testify on allegations made by Deputy President William Ruto that it had advanced Sh15 billion loan to a Turkish national who was recently deported to Istanbul.

Through its chief executive officer James Mwangi, who was represented by the managing director Gerald Warui, the lender told members of Parliament that it has no customer by the name Harun Aydin.

The bank has also denied advancing a Sh15 billion loan to Mr Aydin, who is linked to DP Ruto.
Mr Warui also told MPs that Equity Bank has never received any phone calls from anyone to advance a loan to Mr Aydin.

This contradicts Dr Ruto’s claim that he helped facilitate a loan from the lender to the Turk to help set up a vaccine manufacturing plant in Uganda. 

The National Assembly Committee on Finance and Planning had summoned Equity Bank to answer seven questions relating to allegations made by the deputy president.

In a letter dated August 16 from the committee seen by Nation, the Nairobi Securities Exchange-listed lender was expected to answer a series of questions, including whether the bank, in handling Mr Aydin’s alleged transaction, complied with all legal and regulatory requirements as established under the law.

“The purpose of this letter is to invite you to a meeting with the committee scheduled for August 25 in the mini-chamber,” reads the letter dispatched to Mr Mwangi.

The committee chaired by Homa Bay Woman Representative Gladys Wanga also wants to know whether the bank carried out a thorough know-your-customer (KYC) check as required by the Central Bank of Kenya prudential guidelines before processing the said credit facility to the Turk.

The saga started after Dr Ruto, accompanied by Mr Aydin and other close associates, were stopped from boarding a flight to Entebbe, Uganda from Nairobi’s Wilson airport.

The DP was reportedly asked to provide proof from the Office of the President that he had permission to travel outside the country. Days later, Mr Aydin was deported upon return to Kenya from Uganda. Interior Secretary Fred Matiang’i later told a parliamentary committee that the Turkish national was a suspect in terrorism financing and money laundering.