NAIROBI, Kenya — Health Cabinet Secretary Aden Duale has dismissed claims that the government is attempting to take over The Nairobi Hospital, saying the private medical facility cannot be acquired because it is not owned by shareholders.
Speaking on Monday, Duale said the hospital operates under a unique corporate structure as a company limited by guarantee and is owned by members through the Kenya Hospital Association (KHA).
“The Nairobi Hospital is a company limited by guarantee. It belongs to its members and not shareholders, so it cannot be acquired the way people are claiming,” Duale said.
His remarks come as the hospital finds itself at the centre of a widening governance crisis marked by financial struggles and the arrest of several senior officials.
Police over the weekend arrested three top board members — Job Obwaka, the hospital’s chairman; vice chairman Samson Kinyanjui; and former chairman Chris Bichage — over allegations of falsifying the hospital’s membership register and conflict of interest.
The arrests sparked backlash from sections of the medical fraternity, with some leaders claiming the government was attempting to influence leadership changes at the hospital.
But Duale rejected the allegations, insisting the state has no interest in controlling the institution.
Founded in 1954, The Nairobi Hospital is among the most prominent private medical institutions in East Africa and serves both local and international patients.
Despite its reputation, the hospital has been grappling with a prolonged leadership dispute within the Kenya Hospital Association, the non-profit body that owns and runs the facility.
The dispute has seen board elections challenged in court, accusations of mismanagement, and a bitter power struggle over control of the multi-billion-shilling institution.
Financial pressures have further complicated the crisis. The hospital reportedly recorded losses exceeding Sh3 billion in 2024, while supplier debts rose to more than Sh4 billion.
The situation worsened in 2025 when several insurance firms temporarily suspended services at the hospital following disagreements over pricing and billing practices.
The controversy has also drawn political attention, with Rigathi Gachagua, the former Deputy President of Kenya, among leaders who have accused the administration of William Ruto of attempting to influence the hospital’s leadership.
Duale, however, maintained that the governance dispute remains an internal matter for the Kenya Hospital Association and its members, emphasizing that the government’s role is limited to the regulation of healthcare services rather than the management of private hospitals.
