By Dennis Mwangi
Safaricom, Kenya’s telecom titan, is bleeding trust. Once a beacon of progress, it now stands accused of fraud, theft, and betrayal. From M-PESA scams to shady government deals, Kenyans are fed up. Social media, especially X, is ablaze with outrage, demanding answers. This exposé rips the veil off Safaricom’s dark side, revealing a company entangled in corruption and neglect. You deserve to know the truth.
A Legacy Tarnished: Safaricom’s Fall from Grace
Safaricom built Kenya’s digital backbone. M-PESA revolutionized money. Over 30 million Kenyans rely on it daily. But the shine is gone. Scandals pile up. Customers scream about stolen funds. Employees face ruthless restructuring. The government looms large, pulling strings. CEO Peter Ndegwa, once hailed as a visionary, is now a lightning rod for criticism.
Why is Safaricom failing you? How did a company so vital become so distrusted? Let’s dive into the mess.
M-PESA: A Dream Turned Nightmare
M-PESA is Kenya’s financial lifeline. It moves billions daily. But for many, it’s a trap. Fraudsters and insiders are draining accounts. Here’s what’s happening:
-
Unauthorized Deductions: On April 24, 2025, X user@ENguthi
accused Safaricom staff of hacking Google contacts and siphoning M-PESA funds. After complaining online, they received suspicious midnight calls. This isn’t isolated. Cynthia Kendi, an M-PESA sub-agent in Nairobi, lost Ksh 160,000 to Innovate Logistics, a super agent. Dozens report similar thefts. Safaricom’s response? A vague promise to investigate.
-
Super Agent Scandal: Sub-agents, the backbone of M-PESA’s network, are crying foul. Innovate Logistics allegedly siphoned millions from their floats. CEO Anthony Minina admitted to taking funds but claimed it wasn’t illegal. Sub-agents, like Kendi, are left penniless, with police demanding evidence only the accused can provide. Where’s the oversight? Why are small operators left to rot?
-
Customer Losses Ignored: One user lost Ksh 400,000 to fraudsters. After posting on social media, their account was restricted, and the post vanished. Safaricom’s silence speaks volumes. Are they protecting customers or covering tracks?
M-PESA’s regulatory gaps are glaring. Super agents wield unchecked power. Sub-agents and customers bear the cost. Safaricom’s 2022 sustainability report boasted of reduced fraud cases, but 2025 tells a different story. Twenty-four staff were sacked for corruption that year. How many more are still at it?
Fraud at the Top: Ndegwa’s Alleged Role
Peter Ndegwa, Safaricom’s first Kenyan CEO, faces serious accusations. An X post by
@KenyanHour_
on April 24, 2025, claimed an audit report exposed “system fraud” in procurement, tenders, and supply chains. Ndegwa and senior official Paul Gathura were named. No audit details have surfaced, but the allegations stick.
-
Procurement Scams: The unverified report suggests insiders rigged contracts for personal gain. If true, this betrays Safaricom’s 40 million customers. Why hasn’t Ndegwa addressed this publicly?
-
Historical Precedent: In 2016, a leaked KPMG report flagged questionable tenders worth billions. Safaricom denied wrongdoing, but the stink lingered. Are we seeing a repeat?
-
Lavish Pay Amid Chaos: In 2022, Ndegwa pocketed Ksh 313.11 million, including bonuses and perks like luxury holidays and club memberships. While customers lose savings, he lives large. Is this leadership or greed?
Ndegwa’s defenders point to his achievements: slashing data prices by 70% and expanding M-PESA. But trust is crumbling. If he’s innocent, why the silence? If guilty, who’s holding him accountable?
Data Privacy: Safaricom’s Dirty Secret
Safaricom’s data practices are under fire. Kenyans suspect their personal information is being weaponized. Here’s the evidence:
-
Government Collusion Allegations: During 2024’s anti-Finance Bill protests, influencers accused Safaricom of sharing data with police, leading to abductions. Ndegwa denied this, claiming compliance with the Data Protection Act. Yet, a 2024 investigation by KHRC, MUHURI, and the Daily Nation revealed Safaricom gave security agents “unfettered access” to customer data without court orders. This aided tracking and extrajudicial tactics.
-
Manipulated Records: The same investigation found Safaricom provided falsified call data records (CDRs) to shield state crimes. When court-ordered to release CDRs, Safaricom allegedly passed the task to police, creating a conflict of interest. Is Safaricom protecting Kenyans or enabling oppression?
-
Influencer Boycott: In 2024, influencers cut ties with Safaricom, accusing it of siding with the government to curb free speech. The company’s internet outages during protests, blamed on “undersea cables,” were debunked by NetBlocks as deliberate. Why should you trust a company that chokes your voice?
Safaricom’s 2022 report claimed a single employee data breach. But the 2024 revelations paint a grimmer picture. Your calls, locations, and transactions may not be safe.
Innovation Stagnation: A Company Out of Ideas
Safaricom calls itself a fintech leader. Yet, its innovation is faltering. The evidence is stark:
-
GitHub Ghost Town: Safaricom’s last GitHub commit was six years ago. For a company claiming tech prowess, this is embarrassing. Are they building anything new?
-
Starlink’s Wake-Up Call: Starlink’s arrival forced Safaricom to launch a 1000mbps internet package. Kenyans cheered Elon Musk and jeered Safaricom. Why? Safaricom’s 50GB data costs Ksh 3,000, while Starlink’s is Ksh 1,300—20 times faster. Rural networks lag, overtaken by Airtel. Safaricom even lobbied the government to hinder Starlink, echoing banks’ resistance to M-PESA years ago. Hypocrisy much?
-
Third-Party Crutch: Safaricom leans heavily on Visa and Mastercard partnerships. But what value do these bring to your local kiosk owner? Visa faces a U.S. monopoly lawsuit. Why not build a homegrown payment scheme like Nigeria’s Verve? Safaricom’s logo-collecting feels like a distraction.
-
Government Projects Gone Wrong: Safaricom’s dive into the Ksh 100 billion Integrated Healthcare Information Technology System (IHITS) raises red flags. The contract went to a company registered two months ago, linked to politically exposed individuals. Startups face brutal vetting for Safaricom’s Accelerator, but billion-shilling deals skate through. Smells like favoritism.
Corruption kills innovation. Matthew Tyce’s 2020 paper nails it: Safaricom’s dominance thrives on political patronage, not pure ingenuity. M-PESA succeeded because elites shielded it from competition. Now, that same system stifles progress.
The 15 Billion CCTV Scandal: Where’s the Footage?
In 2014, Safaricom installed CCTV cameras across Kenya for Ksh 15 billion, securing a valuable frequency in return. The promise? Enhanced security. The reality? A black hole.
-
Missing Footage: During recent terror incidents, private cameras provided footage, not Safaricom’s. Why can’t we track suspects’ movements in Kiambu, Nairobi, or Westlands? Ksh 15 billion should buy a system that works.
-
Media Silence: Only Ahmednassir Abdulahi’s Nairobi Law Monthly dared question the deal. Was he silenced with ads or court gags? Mainstream media stays mute. Who’s protecting Safaricom?
This isn’t just about cameras. It’s about accountability. You’re paying for services that don’t deliver. Where did the money go?
Employee Betrayal: Ndegwa’s Ruthless Restructuring
Safaricom’s workers aren’t spared. In 2024, Ndegwa forced employees to reapply for their jobs. The Central Organization of Trade Unions (COTU) called it “insensitive and inhuman,” threatening to push for his ouster.
-
Mass Dismissals: In 2022, 24 staff were fired for fraud and corruption. More face uncertainty now. Why punish the rank-and-file while top brass escape scrutiny?
-
Union Fury: COTU’s backlash shows deep unrest. Workers built Safaricom’s empire. Now, they’re disposable. How does this square with Ndegwa’s Ksh 313 million paycheck?
Your trust in Safaricom funds these decisions. Are you okay with that?
Safaricom Foundation: A PR Facade?
The Safaricom Foundation funds healthcare, education, and sports like Chapa Dimba. But is it a genuine effort or a shield for Safaricom’s sins?
-
No Direct Criticism: In 2025, no X posts target the Foundation. But its parent company’s scandals cast doubt. Are these programs just PR to mask fraud and data breaches?
-
Transparency Questions: The Foundation’s financials are opaque. With Safaricom linked to questionable deals, can you trust its philanthropy? Demand audited reports.
The LSK Scandal: Safaricom’s Legal Overreach
Safaricom’s “Lawyer Wangu” app offered legal services, stepping on advocates’ toes. The Law Society of Kenya (LSK) raised alarms, but the issue was quietly settled.
-
Secret Deal: Safaricom took down the app after negotiations. LSK got nothing—no towering headquarters, no win for advocates. Who benefited?
-
Missed Opportunity: LSK could have won big, funding a 60-floor tower. Instead, silence. Why didn’t LSK fight harder for its members?
This shows Safaricom’s arrogance. They encroach on other industries, then dodge accountability.
A Government Puppet?
Safaricom’s ties to the government are too close. It’s become a special purpose vehicle for dubious projects.
-
Hustler Fund and IHITS: From loans to healthcare systems, Safaricom’s role grows. But the IHITS deal, with its shady contractor, screams corruption. Why is a telecom playing doctor?
-
Protest Crackdowns: In 2024, Safaricom’s outages during protests weren’t accidents. They aligned with government interests. Your data may have fueled abductions. Can you trust a company that picks sides?
Safaricom’s dominance relies on political protection. Tyce’s paper says it: elites across the spectrum profit from its success. But at what cost to you?
The Grand Theft: Billions Stolen Daily
An investigative journalist’s 2004 exposé revealed telecom theft at Telkom Kenya, enabled by insiders. Safaricom’s 2025 scandals mirror this.
-
Daily Heists: Estimates suggest Safaricom steals Ksh 200 million daily through unauthorized subscriptions. One user was charged Ksh 30 daily for “wrestling content” they never signed up for. Multiply that by millions. Who’s approving this?
-
Insider Collusion: Such theft needs high-level complicity. The ICT Authority’s CEO, installed amid controversy, hints at deeper rot. Billions flow through telecom scams. Where’s the audit?
This isn’t petty crime. It’s organized theft. Your airtime and M-PESA balance are targets.
What Can You Do?
Safaricom’s scandals hurt you directly. Your money, data, and trust are at stake. Here’s how to fight back:
-
Demand Transparency: File complaints with the Communications Authority of Kenya and the Data Protection Commissioner. Push for M-PESA transaction audits.
-
Switch Providers: Airtel’s services rival Safaricom’s. Their data is cheaper, and they’re not accused of abductions. Why stay loyal to a company that exploits you?
-
Support Investigations: Share stories of fraud on X. Amplify voices like@ENguthi
and
@KenyanHour_. Pressure media to cover the CCTV and IHITS scandals.
-
Boycott Partnerships: Question Safaricom’s Visa and Mastercard deals. Demand a Kenyan payment scheme. Your wallet has power.
-
Hold LSK Accountable: Ask why LSK settled the “Lawyer Wangu” case quietly. Advocates deserve better.
The Bigger Picture
Safaricom isn’t just a company. It’s Kenya’s economic spine. But corruption is choking it. Tyce’s research shows how political patronage fuels its dominance. This stifles innovation, hikes prices, and betrays customers.
Starlink’s arrival exposed Safaricom’s weaknesses. Airtel is catching up. If Safaricom doesn’t change, it’ll collapse like Xender or VCDs. Kenyans deserve better. Why should you pay for their failures?
Final Questions
-
Are you okay with Safaricom stealing your money?
-
Will you trust a company that hands your data to oppressors?
-
Why is Ksh 15 billion in CCTV cameras useless?
-
Can Safaricom innovate without government crutches?