Directline CEO Seeks Arrest of Tycoon SK Macharia

The Chief Executive Officer of Directline Assurance Limited Sammy Kanyi, has petitioned the courts to have businessman Samuel Kamau (SK) Macharia cited for contempt of court.

He is accusing the businessman of illegally removing the insurer’s board of directors and installing a new team.

According to Kanyi, SK Macharia allegedly stormed Directline’s offices at Hazina Towers on September 22, removing the CEO and board members, and appointed new officials.

This, Kanyi noted, was done in defiance of a court directive.

Consequently, he installed Stella Kinoti as head of finance, Wilson Wambugu Maina as principal officer, and James Mari as head of IT.  Security footage reportedly showed him directing his team at the reception area.

Also Read: Kenyans Warned Against Buying Directline Shares

Directline CEO Explains Why SK Macharia Should be Arrested

Kanyi confirmed filing a formal complaint to the Central Police Station and the Insurance Regulatory Authority (IRA) and police officers later visited the offices, confirming that investigations were underway.

“He announced he had fired me. He also led a group to break doors, yet there is a court order stopping such moves. Let the authorities take necessary action,” he said.

Moreover, Lawyer Maina who represents Directline, told the court that Macharia’s actions violated orders issued on October 4, 2024. 

Macharia was also accused of disrupting operations, putting both policyholders and the public at risk.

The lawyer urged the court to direct police to enforce the orders and remove individuals installed by Macharia.

Also Read: SK Macharia Fumes After Suspension of Directline Top Managers

Court’s Decisions Against the Businessman

In 2024, the court barred Macharia from attempting a takeover, issuing injunctions restraining him and his associates from interfering with the company’s management, staff, or finances.

Additionally, the orders prohibited signing cheques, transferring funds, or issuing directives to banks, contractors, or business partners without the approval of the shareholders or the board.

On the other hand, the court in a separate ruling restrained Macharia from airing cautionary advertisements through his Royal Media Services, which had warned the public against engaging with Directline.

The insurer argued the adverts were defamatory and damaging to its financial standing.

While granting the restraining order, Justice Francis Gikonyo said that Directline is a distinct legal entity whose financial stability must be protected.

High Court Judge Gikonyo certified the application for contempt as urgent and set it for hearing on December 13, 2025, warning all parties to respect the existing court orders.

Directline was established in 1998 by the late John Macharia, son of the Royal Media Services chairman as a commercial PSV insurance, covering motorists and passengers for death, injuries, and vehicle damage.

However, the company has since been overtaken by Africa Merchant Assurance, partly owned by associates of President William Ruto, now controlling 54.71 percent of the market as of March 2025.

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