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Over 1,000 health facilities shut down for SHA fraud, says Ruto

Over 1,000 health facilities shut down for SHA fraud, says Ruto
President William Ruto speaking during an engagement with Kenyans living and working in the United Kingdom, London on July, 3rd, 2025 PHOTO/PCSS
In Summary

These facilities, located in Kisumu, Bungoma, Busia, Nairobi, Mandera, Wajir, Kajiado, and Kilifi, were found to be engaged in various forms of malpractice.

President William Ruto has revealed that more than 1,000 medical facilities have been tracked and shut down for their involvement in fraudulent activities under the Social Health Authority (SHA).

Speaking during a meeting with Kenyans living in the United Kingdom, the President said that the government is actively identifying and closing down facilities undermining the integrity of the new national health insurance scheme.

“The criminal elements that are staining SHA will not succeed. We have tracked and closed over 1,000 medical facilities engaging in fraud. More are on the way,” Ruto said, stressing that those sabotaging the system will be dealt with. “Our health programme must remain efficient and incorruptible,” he added.

While the President did not disclose the number of facilities flagged versus those already closed, he maintained that the SHA system is fully operational and has made notable progress since its rollout.

“Our Social Health Authority is working. In eight months, the transformative medical scheme has served more than 4.9 million people, way above what NHIF would have managed,” Ruto stated.

His remarks come just days after Health Cabinet Secretary Aden Duale announced that 31 private hospitals have already been shut down for fraudulent practices involving the public health fund.

These facilities, located in Kisumu, Bungoma, Busia, Nairobi, Mandera, Wajir, Kajiado, and Kilifi, were found to be engaged in various forms of malpractice.

“We have closed seven hospitals in Kisumu and others in Bungoma, Busia, Nairobi, Mandera, Wajir, Kajiado, and Kilifi,” Duale said.

“These facilities think they can continue stealing public money the way they did under NHIF. We will not allow that.”

Among the fraudulent activities uncovered were the falsification of patient data, double-claiming payments, and manipulating bed numbers—where clinics with fewer than 20 beds submitted claims as though they were 100-bed hospitals.

A statement from the Ministry of Health further detailed widespread abuse, including the use of ghost patient admissions, forcing unnecessary inpatient treatments, and misusing patient access and pre-authorisation codes to bill for services never delivered.

“Some healthcare workers are giving out pre-authorisation codes to enable hospitals to submit false claims,” warned Duale. “If you’re doing this, we’re coming for you.”

The government has vowed to continue with the crackdown to safeguard the SHA scheme from the kind of corruption that plagued its predecessor, NHIF.

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