A fresh corruption storm is engulfing Kenyan football after revelations that Sh42.4 million earmarked for insurance during the 2024 African Nations Championship (CHAN) may have been irregularly paid to an unlicensed firm.

Investigations indicate that the funds, processed on August 4, 2025, were transferred from accounts linked to the Football Kenya Federation (FKF) to Riskwell Insurance Brokers Limited, an entity that had been registered a few weeks earlier, on June 25, 2025.

The transaction is now under scrutiny by the Ethics and Anti-Corruption Commission (EACC), with preliminary findings raising serious questions about procurement procedures, regulatory compliance, and possible loss of public funds.

According to documents presented to investigators, Riskwell Insurance Brokers Limited was not licensed to operate as an insurance broker in 2025, a fact confirmed by the Insurance Regulatory Authority. Operating or facilitating insurance brokerage without proper authorisation is a criminal offence under Kenyan law.

Despite this, the company allegedly received Sh42.4 million through a transaction processed via Ecobank and later routed to an account at Fast Community Bank.

The payment has raised critical concerns about whether Kenya’s CHAN team and associated tournament operations were ever covered by valid insurance, as required under the hosting agreement.

Under the Confederation of African Football (CAF) host agreement for the African Nations Championship, participating associations are obligated to secure a minimum of $30 million (approximately Sh4 billion) in general civil liability insurance through qualified and licensed brokers.

The involvement of an unlicensed intermediary now casts doubt on whether this requirement was fulfilled, potentially exposing organisers and participants to significant risk.

Further complicating the matter, internal correspondence from former FKF CEO Harold Ndege shows that quotations had been obtained from established insurers, including Takaful Insurance, Old Mutual, and Britam.

Britam reportedly submitted the lowest bid at Sh29.1 million, significantly lower than the Sh42.4 million eventually paid to Riskwell. There is no documented explanation for abandoning the competitive bidding process in favour of a higher-priced, unlicensed firm.

The scandal places FKF President Hussein Mohamed and CHAN Local Organising Committee chairman Nicholas Musonye under increasing scrutiny.

The controversy comes at a sensitive time, with Kenya preparing to co-host the 2027 Africa Cup of Nations (AFCON). Both Hussein and Musonye are key figures in the local organising structure for the continental showpiece.

As investigations deepen, the case raises broader concerns about governance, accountability, and financial oversight within Kenyan football, with taxpayers potentially bearing the cost of yet another high-profile scandal.