Flutterwave Refutes Allegations of Financial Improprieties in Kenya
By Aduragbemi Omiyale
The management of Flutterwave has refuted claims that it was involved in financial improprieties in the East African nation, Kenya.
On Thursday, it was reported that the Nigerian financial technology (fintech) company has had its bank accounts in the country frozen by a directive of a court.
It was reported that the firm and six others were prevented from accessing about Sh6 billion (Kenya Shillings) in 56 bank accounts after the Asset Recovery Agency (ARA) informed the court that the accounts were used as conduits for money laundering in the guise of providing merchant services.
According to the agency, the accounts are in US Dollar, British Pound Sterling, Euro and Kenya shillings, with Flutterwave allegedly operating 29 bank accounts with Guaranty Trust Bank, 17 with Equity Bank and 6 with Ecobank.
But in a statement, the Nigerian company described the report as “entirely false,” noting that it has always maintained the highest regulatory standards in its operations.
“Our Anti-money laundering (AML) practices and operations are regularly audited by one of the Big four firms. We remain proactive in our engagements with regulatory bodies to continue to stay compliant,” a part of the statement stated.
Flutterwave explained that, “Through our financial institution partners, we collect and pay on behalf of merchants and corporate entities. In the process, we earn our fees through a transaction charge, records of which are available and can be verified.
“As a business, we hold corporate funds to support our operations and provide services to all our customers.
“By facilitating payments for the biggest organizations in the world and everyday businesses, we process significantly large volumes of money and contribute to growing the economy in Kenya, and the rest of Africa.”
“Flutterwave has a responsibility to ensure the integrity of the ecosystem, and we pledge our commitment to continue working with all stakeholders to uphold this,” it added.
Flutterwave, while concluding, disclosed that it was “working to ascertain the motive behind the false claims and have the records straightened.”