Surrender old notes, police and EACC told

Police have been ordered to state how much they are holding as exhibits to enable Central Bank of Kenya exchange them with new currencies.

This was after it emerged police and Ethics and Anti Corruption Commission (EACC) are holding the affected old currency in millions of shillings at various stations and courts as exhibits.

The officers say they are yet to be told the way forward.

The Directorate of Criminal Investigations has asked those holding the money to inform his office on the figure for exchange.

Director of Criminal Investigations George Kinoti issued the directive on Friday in a memo to his officers across the country, saying they will liaise with CBK to know the way forward.

Officers holding the cash had raised concern, saying the directive to replace the old notes would affect the money they hold.

“They did not consider what we are holding. I know of one office, which has Sh6.5 million in their stores as exhibits,” said one officer aware of the issue.

The Government has introduced new currency with plans to withdraw all old currency from circulation by October 1, 2019. 

Uganda and Tanzania stopped the use of the Kenyan currency in an effort to shield its banks from being used to launder stolen money back into Kenya.

This follows CBK's announcement that it intends to withdraw the old Sh1,000 notes to combat illicit financial flows and counterfeits.

Central Bank of Kenya Governor Dr Patrick Njoroge said the new currencies have designs that meet the CBK requirements, serve the public aspirations and capture the spirit of the Constitution.

"More recently we have seen the emergence of some counterfeits. These are grave concerns that would jeopardise proper transactions," Njoroge said.