Nairobi, Kenya – Ladnan Hospital has moved to distance itself from the chairperson of the Social Health Authority (SHA), Dr Abdi Mohammed, following reports that tied the Pangani-based facility to claims of fraudulent payments.
The hospital’s parent company, Metropolitan Hospital Holdings Limited, clarified that Dr Mohammed has not had any role in the ownership or management of Ladnan since mid-2023. According to Metro Group Chief Executive Officer Dr Kanyenje Gakombe, Mohammed sold all his shares in the company in July 2023 when the group acquired Ladnan Hospital.
“Ladnan Hospital Limited in Pangani is a wholly owned subsidiary of Metropolitan Hospital Holdings Limited, which itself is fully owned by The Metro Group PLC,” Dr Gakombe said in a statement. “Dr Abdi Mohammed, one of the founders of Ladnan Hospital, sold his entire stake in Metropolitan Hospital Holdings Limited in July 2023. Since then, he has had no ownership, management, or operational role at the hospital.”
Gakombe stressed that Mohammed is no longer a shareholder, director, or employee at Ladnan. He added that all affairs of the hospital are now fully under the authority of The Metro Group PLC’s board of directors, which represents more than 500 shareholders.
The clarification came after questions were raised about possible conflicts of interest. On Monday, Health Cabinet Secretary Aden Duale defended the SHA chairperson, saying that while Mohammed was indeed one of Ladnan’s original founders, his exit from the hospital long before taking up his role at SHA meant there was no conflict.
“SHA chairman Abdi Mohamed used to own Ladnan Hospital; there’s no conflict of interest,” Duale told reporters, in reference to ongoing scrutiny over fraudulent claims allegedly linked to some health facilities.
Metropolitan Hospital Holdings has urged the public to verify its ownership records, pointing out that the information is publicly available through CR12 filings with the Registrar of Companies. The filings, it said, confirm that The Metro Group PLC is the sole shareholder of Metropolitan Hospital Holdings Limited, which in turn owns Ladnan Hospital.
The statement is part of wider efforts by the hospital and the Ministry of Health to draw a clear line between Ladnan’s current operations and the controversies surrounding SHA, which is battling public criticism over transparency and alleged ghost hospital payments.
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