Ex-MUA Insurance CEO threatens legal action over defamation, contract breach
They added that a PwC forensic audit commissioned by MUA cleared her of any wrongdoing, stating there was no evidence of intentional concealment or dishonesty.
Former MUA Insurance (Kenya) Limited Chief Executive Officer, Lydia Kibaara, has threatened to take the insurer and its Mauritian parent to court for alleged breach of contract and defamation.
In a legal demand letter, Kibaara accuses the company of violating a non-disparagement clause contained in her mutual termination and separation agreement signed in 2024.
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Her lawyer, Danstan Omari, cited a local daily article of September 23, 2025, titled "Mauritian firm MUA takes Sh1.6 billion hit in Kenya fraud", which linked her tenure at the company to fraud and claimed she was dismissed.
"The allegations are manifestly false," the letter reads, insisting that Kibaara was never dismissed but left the insurer under a negotiated and amicable separation.
They added that a PwC forensic audit commissioned by MUA cleared her of any wrongdoing, stating there was no evidence of intentional concealment or dishonesty.
According to her legal team, MUA admitted the contested statements originated from its investor briefings but blamed misreporting by the press.
The lawyers argue this amounts to a breach of the separation contract since the company failed to promptly correct the record.
The law firm has issued a seven-day ultimatum demanding that MUA publicly retract the statements, issue an unconditional apology, admit to breaching the agreement, and enter into negotiations on damages.
If the demands are not met, Kibaara intends to file a lawsuit seeking injunctive orders and compensation for aggravated and exemplary damages.
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