Flutterwave Reacts After Court Froze Millions Of Dollars Belonging To The Company Over Fraud

Posted by Thandiubani on Thu 07th Jul, 2022 - tori.ng

Reacting, the company said accusations of fraud and money laundering made against it is false.

 
Flutterwave has reacted after millions of dollars belonging to the company was frozen by a court.
 
It was gathered that a Kenyan High Court seized Sh7 Billion ($59 million) from 56 accounts belonging to fintechs including Nigeria’s Flutterwave, alleging they were used as conduits for money laundering in the guise of providing merchant services.
 
Reacting, the company said accusations of fraud and money laundering made against it is false.
 
It also denied involvement in any financial improprieties in the guise of providing merchant service as contained in recent reports.
 
This was disclosed in a blog post by the company on ‘communication regarding media reports on Flutterwave Kenya.’
 
According to the post which is dated the 7th of June, the company said it earns its fees through a transaction charge, records of which are available and can be verified.
 
Former American Express Executive, Oneal Bhambani appointed as Flutterwave’s Chief Financial Officer
 
The company wrote, “Claims of financial improprieties involving the company in Kenya are entirely false, and we have the records to verify this.

“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.

“We are a financial technology company that maintains the highest regulatory standards in our operations. Our Anti-money laundering (AML) practices and operations are regularly audited by one of the big 4 firms. We remain proactive in our engagements with regulatory bodies to continue to stay compliant.”
 
Other fintechs affected are: Flutterwave Payment Technology Limited, Boxtrip Travel and Tours Limited, Bagtrip Travel Limited, Elivalat Fintech Limited, Adguru Technology Limited, Hupesi Solutions, Cruz Ride Auto Limited and one Simon Ngige.
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