Equity Bank Kenya has sacked a number of employees over suspicious M-Pesa and bank accounts transactions. The sacking follows an internal investigation that started on April 14, 2025, which revealed the undertakings by the impacted Equity Bank employees.

According to a report that was published by a local business newspaper on Wednesday, Equity began sending the workers home last week. The report says that the affected employees received cash from customers or other entities linked to the bank, including workmates, into their salary accounts at Equity Bank or their registered M-Pesa numbers.

Those who were unable to explain the sources of the money they received were issued with employment termination notices. They were also given 14 days within which they can make an appeal to the bank’s managing director.

According to the report, the letters showed that termination of employment was being implemented with immediate effect.

“It was established that you received amounts into your account number and, or M-Pesa number account under circumstances that were irregular and unethical and which involved and, or were connected to bank customers or entities with a relationship with the bank,” a termination letter stated.

“Consequently, management has decided to terminate your employment effective immediately in accordance with the provisions of the bank’s Consequences Management Policy.”

In an internal letter, Equity Group chief executive officer Dr. James Mwangi acknowledged that the internal audit was largely influenced by the loss of Sh1.5 billion in July last year that was orchestrated by an employee in collaboration with others who have been presented before the courts.

“In Kenya, it was a payroll of Sh1.5 billion, so that is what triggered us. If a staff member can do this, how many others can do it? It prompted us to ask the question of conflict of interest,” Dr. Mwangi said.

“This year, we did not only audit competence and capabilities to see whether you are fit for the next 10 years, to determine whether to retire or reassign you, but we also checked ‘are you conflicted? Can we trust you? Can you uphold the currency of trust?'” he said.

DCI: How Esther Bitutu Kadiki siphoned Sh1.5 billion from Equity Bank

Equity lost Sh1.5 billion between May 1 2024 and July 31, 2024 in a sophisticated system that the Directorate of Criminal Investigations said included the use of cryptocurrencies, bulk withdrawals, and money transfers to other banks to siphon the money out of Equity Bank.

“The money was made from the bank’s internal Salaries Remittance General Ledger Account Number 0001*100774** and credited to several non-Equity Bank (Kenya) Limited accounts and in all instances, fictitious narrations regarding the actual source of funds were made in the bank’s systems in order to conceal or disguise the nature, source, location, disposition or movement of such funds,” the prosecution has stated in court papers.

When the heist started, Equity Bank’s Internal Control Department had detected a series of suspicious transactions at the bank’s salaries account within the window in which the money was siphoned out. The transactions involved 47 withdrawals. These transactions involved money transfers from the salaries account to multiple other accounts in other banks.

Whenever money is sent from one bank account to another, the systems on each side communicate details of transactions. These details include names of the individuals or entities exchanging funds, amounts involved and the integrity of the transactions. In the case of the 47 withdrawals and transfers, this correspondence was missing.

The correspondence credits were missing from the Equity Bank side where they were being sent from. This raised suspicions  that led the control team to review the transactions. Upon review, it was quickly established that the bank had been robbed Sh1.5 billion.