CMA and NSE trashes PWC report on Nyaga Stockbrokers

Business Daily reported that a report on the collapsed Nyaga stock brokers by PWC audit firm has been gathering dust at CMA shelves for the last three months. Over 70,000 investors are estimated to have lost Kshs 1.3 bn which may not be recovered.

NSE denies any knowledge of the report but James Wangunyu, the NSE chairman and the chairman of Standard Investment Bank trashed the report as well. James, whose firm, among other stock brokers, engage in a Kshs 200m "overnight lending" to troubled stock brokers like Nyaga sat at the NSE board which approved the Kshs 100m bailout package to Nyaga. The money was to be used expressly to repay clients monies but was diverted to clear some of the debts owed to James' firm by Nyaga stockbrokers.

Both PNU and ODM promised thorough reforms at CMA and NSE but nothing has been done as yet.



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