I hope you have been following our conversations in my 4 earlier posts. I can see hundreds of thousands (currently we are at 336,758 for a previous article) are reading and Kenyans deserve TO KNOW!
Further to the earlier conversation these
are some more thought provoking discoveries and discussions:
It is strange that the Board who are
responsible for credit decisions as well as the overall strategy and all the
actions that management executed now wants to use the CEO and management as the
scapegoat when the problem is the same two people have sponsored the blogs and
the audits as part of a well-orchestrated hounding mission.
And in reality they have been sabotaging
the strategy by failing to provide capital, assist with liquidity and hindering
management from executing their 
mandate by refusing the exit of underperforming
staff per the banks performance policy. The same 4 board members actively meet
frequently at National Treasury to coordinate their activities contrary to
corporate governance where formal business should only be conducted in
boardroom meetings. The issue of stage managed audits based on judgmental and
inflated provisioning by Deloitte contracted to do a hatchet job - the same
firm that was responsible for cmc, Mumias, Uchumi, Dubai bank. And to show
results have nothing to do with this orchestrated mission to takeover the bank
the same board has been hounding the CEO and senior management in Q1 of 2015
threatening several times to exit the CEO. 7 meetings were held at various
hotels last year by the Board, again led by the same Kerring and Mohamed and reached
the conclusion to sack the CEO but this decision was temporarily shelved in the
face of impressive results which got in the way of their nefarious actions.
The bank has been on an aggressive
transformation strategy which has seen it regain some if it's past glory before
being hampered by National Treasury deliberately sabotaging and withholding the
Regulatory Capital required to achieve the full strategic plan. National
Treasury also blocked the national bank from accessing government agencies
funds and project funds (I stress
placing these in private banks) and went to actively push out Ksh 13
billion of TSC funds that was always handheld by nbk in the last two decades.
It also encouraged government agencies to withdraw funds from the bank. These
actions created a liquidity crisis that management overcame after much
struggle. Despite this throttling of a key plank of the strategy the management
managed to show high double digit YOY Trading Profit growth; grew balance sheet
to over 120 billion shillings from a paltry 27b when the new management team
took over. The actual performance of the bank in 2015 before these biased
speculative provisions were introduced are reported to be over 200% YoY. Key
performance ratios improved: Cost/Income now better by 18% to 60%; NPLs better
by 9% down to 8%; and risk and costs contained through strong controls
introduced by way of underwriting and cost management policies. The bank grew
its branches by 35 additional branches but reduced headcount by 250 at the same
time – this my people is what is called EFFICIENCY. The bank also for the first
time won many awards for products, innovation and services both locally and
internationally and now actively wins businesses in competition with the
leading banks in have country. But these would not support the objective to
exit the performing management hence the witch hunt that's under way. This has
been the story of each parastatal or government owned business. Chase out any
well performing management and bring in weak teams. Within the next few days I
will be exposing the syndicate of mafias in nbk’s board that threatens to
cripple national bank once more!
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