The controversy had dominated headlines for days, with reports suggesting that billions of shillings had disappeared from the health fund.
But Duale moved quickly to clear the air, saying the figures being cited referred to suspicious claims that had already been identified and stopped.
“There was no financial loss. The KES 11.6 billion cited were fraudulent claims detected, rejected, unpaid and blocked before any public funds were disbursed,” Duale stated.
He explained that between April and July 2025, the government’s AI-powered fraud detection system flagged a total of Ksh12.7 billion worth of questionable claims.
These claims, he said, were found to be fake or highly suspicious and were immediately rejected by the system.
The CS noted that the technology was introduced as part of wider reforms aimed at sealing loopholes in the health financing system.
In the past, concerns have been raised about fraudulent medical claims draining public resources.
Duale said the new digital system acts as a gatekeeper by scanning claims before payments are approved.
According to him, the fact that such a large amount was intercepted shows the system is working as intended.
Rather than being evidence of theft, he argued, it demonstrates that stronger safeguards are now in place.
Duale also addressed Kenyans directly through his official X account, where he defended the ministry and dismissed what he termed as attempts to create panic.
He said the ministry remains committed to transparency and accountability in the management of public funds.
The CS maintained that SHA finances are intact and that no taxpayer money was lost in the reported incident.