The Directorate of Criminal Investigations (DCI) has arrested three suspects in connection with a €2,168,258.91 (Ksh341 million) fake gold scandal.
The DCI reported that the suspects scammed two foreign nationals, Marco Colombo Conti and Satbinder Singh, in a scheme that began in June 2022.
“The three suspects have been arraigned as investigations into the conduct of the advocate for breach of the terms of their letter of engagement for legal services and escrow account management have been forwarded to the ODPP for perusal and advice,” the DCI stated.
Marco traveled to Kenya intending to purchase 100kg of gold from Allain Mwadia Nvita. He paid approximately $400,000 in duties and other charges through a law firm named Squire AfriLaw Consult Limited.
Marco received 12kg of gold for covering the charges on behalf of the seller and was told he could carry the package as hand luggage.
However, the seller later informed him that he could not leave with the 12kg of gold as it was part of a larger consignment, totaling 112kg.
Nvita advised Marco to store the gold safely in a safe deposit box at Mysafe Vaults at the Village Market in Gigiri, Nairobi, which Marco accepted.
Victims Travels Back to Kenya
He left Kenya and returned on February 5, 2024, accompanied by Satbinder Singh, who was interested in purchasing the gold.
Upon arrival, Satbinder was introduced to Nvita, the gold seller, Lehman John Raymond, Daniel Ogot of Patvad Trading Co. Ltd, and Frank Kateti, a Tanzanian agent.
The group discussed purchasing the 112kg shipment, and Nvita convinced them to take 31kg of gold out of the country.
This amount would repay Marco for the money he paid in 2022 and cover the costs Satbinder would incur if he decided to ship the full 112kg shipment.
On the same day, Daniel Ogot invoiced Satbinder’s company, Asianic Limited, for €162,240 (Ksh23 million) and €548,830 (Ksh78 millio), respectively.
Ogot instructed that these amounts be paid into an escrow account held at Stanbic Bank in the name of Mosota Abunga & Associates Advocates, LLP.
On February 7, 2024, the same agent invoiced Asianic Limited an additional €14,112 as freight charges for the 112kg gold consignment.
All these payments were made on February 8, 2024, after their private agent, Frank Kateti, assured them that everything was in order and that the 31kg of gold had been deposited into Mysafe Vaults at the Village Market.
Also Read: Suspect in Ksh 2.85B Gold Scam Arrested at Milimani Courts
Marco & Satbinder Jet Out Again
On February 9, 2024, the foreign nationals collected 31kg of gold from Mysafe Vaults and proceeded to the clearing agent’s (Daniel Ogot) office.
There, the box was opened, and the consignment was divided into two and packed into blue metallic boxes that were sealed, signed, and stamped.
As they left for the airport, Daniel Ogot and Frank Kateti promised to bring the consignment and necessary documents to the airport, but they failed to fulfill their part of the agreement.
With no other option, the foreigners flew out, and while in Italy, Daniel Ogot informed them that an error in declaring the consignment’s weight had led to its confiscation by the Customs department.
Additionally, Ogot said their license had been suspended.
Ogot further explained that the Customs department had imposed a fine equivalent to 20% of the consignment’s value, amounting to $1,562,000 (Ksh201 million). If not paid, the entire consignment was at risk of confiscation.
Also Read: How Criminals Posing as Govt Officials Scammed Foreigner Over Ksh116 million
Satbinder Flies Back, Reports to KRA & DCI
Satbinder flew to Kenya and paid €1,438,460 (Ksh205 million) through the escrow bank account in the name of Mosota Abunga & Associates Advocates, LLP, hoping to rescue the gold, unaware he was still being defrauded.
He was then taken to Forodha House within JKIA, where he met a woman named Susan Oketch, who he was informed worked with the customs department.
Susan confirmed the fine’s authenticity and provided some ownership documentation.
Satbinder traveled back to the UK on March 20, 2024, but the scammers continued to string him along.
Eventually, he became suspicious that the deal would not materialize, prompting him to write to the Commissioner General of the KRA to verify the authenticity of the documents provided.
The matter was referred to the DCI, and after an in-depth investigation, it was established that the entire process was a scam.
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