Kuda Technologies, one of Africa’s fastest-growing digital banks, is under scrutiny following allegations of workplace discrimination, harassment, and wrongful dismissal brought by its former Group Chief People Officer (CPO), Rosemary Hewat.
The case, filed with the UK Employment Tribunal, accuses Kuda and its CEO, Babatunde Ogundeyi, of sex discrimination, victimization, and unfair dismissal.
Hewat, who served as CPO for nearly three years, claims she was forced out of the company in April 2024 after enduring prolonged mistreatment.
Kuda in an email response to Nairametrics confirms the case but declines to comment further because it is a legal matter.
“It is accurate that Rosemary Hewat, a former employee of Kuda Technologies Limited UK, has made an employment tribunal claim against the company.
“As this is currently a legal matter, we’re unable to provide any additional information at this time.
“In line with our current policy and out of respect for privacy, we do not comment on matters of this nature involving current or former employees,” the company stated.
Allegations of discrimination and toxic workplace culture
Hewat, hired in August 2021 to oversee global HR operations from Kuda’s U.K. office, alleges that she experienced and witnessed discriminatory behavior that contradicted the company’s Diversity, Equity, and Inclusion (DEI) policy.
- According to the filing analysed by Techcrunch, CEO Ogundeyi and other senior leaders allegedly undermined her role, fostering a culture of misogyny and intimidation.
- One notable incident cited in the complaint occurred during a company retreat in Lagos in December 2023.
- Hewat claims Ogundeyi publicly berated two female employees, calling them “low class” and accusing them of lacking “quality or luxury,” which left them in tears.
- Hewat described this as part of a broader pattern that made Kuda’s workplace “intimidating, hostile, degrading, humiliating, and offensive” for her and other women.
- The filing also alleges that Ogundeyi repeatedly told Hewat that employees viewed him as “God” and feared approaching him.
Additionally, Hewat claims she was excluded from critical strategy discussions, with then-COO Pavel Khristolubov bypassing her authority and working directly with her team members. When she raised concerns, Ogundeyi reportedly dismissed her complaints, further exacerbating the toxic work environment.
Dispute over equity compensation
A central issue in Hewat’s complaint revolves around her employee stock options (ESOP). She claims that upon joining Kuda, she was offered several hundred thousand dollars worth of ESOP shares at the company’s Series A valuation. However, she never received formal documentation despite multiple requests.
When Kuda finally issued the ESOP grant in April 2022, it was based on the Series B valuation, which increased the stock price and reduced her equity value.
Hewat alleges that then-CFO Steven Bastian successfully negotiated to revert his shares to the Series A price, but her similar request was dismissed by Ogundeyi, who reportedly stated that Bastian’s role was “more important” than hers.
- In February 2024, Hewat said she was abruptly fired while traveling to Lagos for an Executive Committee (ExCo) retreat.
- Despite informing Ogundeyi of her circumstances, she claims he dismissed her during a video call.
- Kuda allegedly barred her from attending the retreat, which she viewed as a deliberate attempt to humiliate her.
- Ogundeyi reportedly cited Nigeria’s economic instability and cost-cutting measures as reasons for her dismissal, but Hewat argues that her firing was retaliation for her discrimination complaints. She also claims that Kuda offered her the same exit terms as Khristolubov, despite her being a full-time employee and him a contractor.
What you should know
This case places Kuda, which has raised significant venture funding—including a $55 million Series B round in 2021—under intense scrutiny.
It comes at a time when African tech companies are facing increasing pressure to improve governance and corporate accountability, following similar allegations at other high-profile startups like Flutterwave in 2022.
