Health CS Aden Duale during a past briefing. Photo/Aden Duale
By Daisy Okiring
The Social Health Authority (SHA) has suspended 45 health facilities across the country for allegedly defrauding the health system. This brings the total number of suspended hospitals to 85 after 40 others were flagged earlier this month.
The crackdown, announced on Tuesday by SHA Chief Executive Officer Dr. Mercy Mwangangi through a Gazette Notice, is the latest move in the government’s efforts to curb corruption in the healthcare sector.
List of Suspended Hospitals
In the notice, Mwangangi outlined facilities drawn from several counties, including both large and small medical centres. Among them are Novic Medical Centre in Nairobi, Equity Afia branches in Homa Bay and Mandera, Guardian Hospital in Meru, Kimathi Medical Services in Kirinyaga, and Lenmek Hospital Limited in Kisii.
Others include Namanga Nursing Home in Kajiado, Neocare Memorial Hospital in Migori, New Hope Nursing Home in Kisii, Palmcare Sinai Hospital in Uasin Gishu, Tranquil Hospital in Kakamega, Northgate Hospital in Garissa, and Okitta Nursing in Homa Bay.
Mwangangi said the suspended hospitals would not be entitled to any benefits from SHA during the suspension period.
“In accordance with the provisions of the Social Health Insurance Act, the health facilities set out in the schedule shall not be entitled to any benefit from the Social Health Authority during the period of their suspension,” the notice stated.
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Previous Suspensions
The latest action follows an earlier announcement by Health Cabinet Secretary Aden Duale on August 8, when 40 facilities were suspended for the same offences.
Among the facilities flagged in the first round were Vebeneza Medical Centre Tassia, Imara Healthcare Centre, ABM Specialised Hospital, Dolma Medical Centre, Lego Medical, St. John’s Hospital Ltd, Edris Premier Hospital Ltd, Bristol Park Hospital Fedha, and Selacare Health Services.
Duale explained that professionals found complicit in the fraudulent activities would also face removal from the SHA system, pending the outcome of investigations.
“We have suspended 40 health facilities found to be defrauding the SHA. These suspensions take effect immediately. During the investigation period, these facilities will not receive any benefits from SHA, and we will surcharge them for the money lost,” Duale said at the time.
Government Warning to Fraudsters
The government has repeatedly warned against corruption in the healthcare sector. President William Ruto, during the launch of the National Equipment Service Project at State House on August 7, said anyone attempting to exploit the Social Health Insurance Fund (SHIF) would face the full force of the law.
“If you are trying to game the system, beware: you are already on our radar. The system is flagging such attempts, and investigations are ongoing,” Ruto warned.
SHA has since introduced stricter monitoring mechanisms, including digital verification of claims, to prevent fraudulent billing by healthcare providers.
Read More: How SHA blocked Sh10.6bn in fake medical claims
Broader Crackdown on Health Sector Fraud
The crackdown highlights the government’s growing concern over corruption in health financing. Fraudulent claims not only drain public resources but also undermine service delivery for millions of Kenyans who rely on public health insurance.
Analysts warn that if left unchecked, such malpractices could cripple efforts to expand access to affordable healthcare under the Universal Health Coverage (UHC) program.
The Ministry of Health has said investigations into suspended hospitals will continue, and further action, including deregistration and prosecution, could follow depending on the findings.
What Lies Ahead
Health policy experts argue that beyond suspensions, the government needs to improve transparency in procurement, claim verification, and hospital accreditation to reduce loopholes. They also call for closer collaboration between SHA, county governments, and professional bodies to restore public trust in health systems.
Meanwhile, suspended facilities are expected to remain off the SHA benefits list until investigations are complete and compliance verified. Patients seeking care at these hospitals may be forced to seek alternatives, potentially straining other health providers in affected regions.
The SHA has urged citizens to remain vigilant and report suspicious billing practices to safeguard public funds meant to improve access to quality healthcare.
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