In a strongly worded post shared on X on Thursday, January 29, 2026, Muite accused those in power of maintaining “deadly silence” despite audit reports pointing to billions of shillings lost through fraudulent claims.
The veteran lawyer questioned why no arrests had been made if the government was serious about fighting corruption within the new health insurance framework.
“No arrests; only deadly silence by those in power,” Muite wrote.
“What else do you need to know to figure out who those looters are? Ksh11 billion, in addition to the Ksh103 billion for the SHA software stolen in advance of the launch. SHA is working, we keep being told; yes, it’s working for the looters.”
Muite’s remarks follow the release of findings from an internal audit by the Ministry of Health covering the period between October 2024 and April 2025.
According to the audit, the government lost approximately Ksh11 billion through fraudulent health insurance claims submitted under the Universal Health Coverage (UHC) programme administered by SHA.
The audit revealed that several health facilities, most of them private hospitals, engaged in a range of fraudulent practices aimed at inflating payouts.
These included converting outpatient cases into inpatient admissions to attract higher reimbursements, billing for services that were never provided, exaggerating treatment costs, and submitting unusually high numbers of caesarean section claims that exceeded World Health Organization (WHO) benchmarks.
The findings reignited public debate over the credibility of SHA, which replaced the National Hospital Insurance Fund (NHIF) amid promises of transparency, efficiency, and improved service delivery.
Critics argue that despite the change in name and structure, the same loopholes that enabled abuse under NHIF may still exist.
However, Health Cabinet Secretary Aden Duale has strongly rejected claims that the government has lost billions under SHA.
Speaking during a local television interview on January 28, 2026, Duale insisted that the funds in question were not paid out, but rather blocked by the system after being flagged as fraudulent.
“As of this evening, we have rejected Ksh11.6 billion in fraudulent claims,” Duale said.
“Facilities made claims, and the system subjected them to valuation and clinical review. We are not paying that money.”
Duale attributed the attempted fraud to health facilities that previously exploited NHIF and later transitioned to SHA, believing they could continue the same practices.
He said the new system is more robust and technologically advanced, making it harder for fraudulent claims to go undetected.
“So many of the facilities that milked NHIF since independence migrated to SHA, but little did they know the system has changed,” he explained.
The Health CS further assured Kenyans that SHA is backed by artificial intelligence and advanced monitoring tools designed to detect irregular claims in real time.
He warned that any facility found attempting to steal public health funds would face prosecution.
“I want to make it clear to the people of Kenya: every coin a Kenyan pays for health insurance matters. If you steal it, the system will detect you, flag you, and the government will prosecute you,” Duale said.
Despite these assurances, Muite and other critics remain unconvinced, arguing that blocking payments alone is not enough.
They insist that criminal investigations and arrests must follow to deter future abuse and restore public confidence in the health system.
Muite also dismissed claims that public outrage over the scandal is driven by sensational media reporting, maintaining that the issue involves serious public funds and deserves scrutiny.
The controversy comes at a time when the government is under increasing pressure to demonstrate tangible results in the fight against corruption, particularly in critical sectors such as healthcare.
With millions of Kenyans relying on SHA for medical coverage, concerns over mismanagement and fraud threaten to undermine trust in the system.
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