Title: White-Collar Crimes Thrive in Kenya’s Financial Sector: A Battle Against Corruption, Money-Laundering, and Terrorism Funding

Origins of White-Collar Crimes in Kenya

• Concept introduced by American sociologist Edwin Sutherland in the early 20th century
• Targets economic crimes committed by individuals of high social status manipulating resources to evade punishment
• Persistent issue in Kenya despite legislative efforts

Fighting White-Collar Crime: New Laws and Enforcement

Anti-Bribery Act 2016

• New reporting and enforcement regime against bribery and corruption
• Private entities required to prevent activities and report suspicions within 24 hours
• Failure to report may lead to imprisonment, hefty fines, and penalties
• Offers protection to whistleblowers and witnesses

Key Penalties Under Anti-Bribery Act 2016

• Imprisonment: up to ten years
• Fines: up to five million shillings
• Mandatory fine: five times the benefit gained or loss incurred

Proceeds of Crime and Anti-Money Laundering (Amendment) Act 2017

• Empowers the Assets Recovery Agency to handle proceeds of crime cases
• Coordinates with the Financial Reporting Center for effective implementation of Anti-Money Laundering Laws in Kenya
• Introduces civil penalties for non-compliance

Effectiveness of New Laws

• Stronger framework against corruption and money laundering
• Key challenges: tracking suspicious transactions, respecting privacy rights
• Ongoing innovation by criminals necessitates constant adaptation and collaboration

Conclusion

• Kenya battles white-collar crimes, including corruption, money-laundering, and terrorism funding
• Recent legislation aims to strengthen enforcement with penalties and expanded reporting requirements
• Enforcement and implementation of the laws are crucial to effectively addressing white-collar crime
• Innovation by criminals demands a flexible approach and collaboration between the government and financial institutions.