Former Equity Bank Staff Sue CEO James Mwangi & Bank — Sh148M Defamation Case
37 former staff have sued Equity Bank and CEO James Mwangi personally for maliciously damaging their reputations to justify mass layoffs
They claim Mwangi publicly stated in 2025 that Equity was dismissing large numbers of staff over alleged integrity issues — fraud, criminal conduct, and unethical behaviour — with those statements widely circulated through mainstream media, internal communications, and public interviews
The ex-staff argue the allegations were made without any of them being charged, investigated, or convicted of any wrongdoing
They maintain the dismissals were actually part of a broader organisational restructuring — downsizing and staff rationalisation — not proven misconduct, citing a Business Daily article attributed to HR head Dorcas Kiai
They argue Mwangi’s statements falsely created the impression that the entire affected workforce was dishonest and unfit for the financial sector, when losses of about Sh1.8B were linked to specific individuals and isolated incidents
They are seeking Sh148M in damages plus a public apology and retraction of the defamatory statements
🔴 The Wider Mwangi Pattern
Equity Group fired more than 1,200 staff in a sweeping internal purge, with Mwangi declaring: “It doesn’t matter how many I will lose. I don’t even care. I have just started the journey. I will be ruthless.”
Staff were required to account for any irregular income in their bank or M-Pesa accounts for the past two years, with face-to-face disciplinary hearings held for those with unexplained deposits.
Some affected employees argue the implementation was inconsistent — claiming they were dismissed over relatively minor personal transactions, even after providing documentation to explain them. The rapid terminations reportedly strained branch operations and led to understaffing and low morale.
🔴eCitizen/Sh9.4B Scandal:
A parliamentary watchdog committee summoned the Attorney General, Equity Bank CEO James Mwangi and four other firms linked to the controversial eCitizen platform over the possible loss of Sh9.4B in revenue.
🔴 Muthaiga Mansion Fraud:
In a stinging judgment, Environment and Land Court Judge Oscar Angote ordered Mwangi and his wife to vacate a Sh1B Muthaiga property, citing procedural and documentary irregularities sufficient to impeach his title. The Court awarded Sh10M in damages for trespass and directed the Chief Land Registrar to cancel all titles linked to Mwangi’s claimed ownership.
The eviction was executed on January 7, 2026 under supervision of Gigiri Police Station, with Mount Pleasant Limited taking possession
🔴 Fraud Continues Despite Crackdown:
Equity Bank Rwanda lost approximately Sh415.9M in a fraud scheme exploiting its mobile money float system, with two bank employees among 35 arrested — this occurring just months after Mwangi’s high-profile integrity purge.
