Detectives from the Banking Fraud Investigation Unit (BFIU) have arrested Seth Mwabe Okwanyo, who is accused of carrying out a well-planned cyberattack that stole KSh11.4 million from a microfinance institution.
According to the DCI, the theft occurred on July 16, 2025, after 38 fraudulent transactions were processed through the company’s system. The unusual part is that the transactions went through successfully on the recipients’ end, but did not appear in the microfinance institution’s internal records, making it seem as if nothing had happened.
How the Hack Was Covered Up
When investigators examined the system, they found that critical system logs and database records had been erased, suggesting someone had tried to hide their activity.
After digging deeper, they found an unauthorized Java program secretly installed inside the institution’s system. Detectives believe this software allowed Seth to enter the system quietly, move the money, and then channel it through several people to confuse the trail.
Seth was arraigned in court and charged with 20 offences, including illegal access to a computer system, computer fraud, tampering with data, and money laundering. He pleaded not guilty, and the court released him on a KSh1.5 million bond or KSh500,000 cash bail.
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Who is Seth Mwabe, and When was His First Arrest
Seth Mwabe is a 26-year-old Meru University IT dropout who has described himself in court as a cybersecurity engineer and consultant who specializes in checking systems for weaknesses and loopholes, skills that investigators now believe were misused.
Seth’s problems with the police started earlier on August 30, 2025, when detectives raided his apartment in Tatu City, Kiambu County. This followed a complaint from a betting company that had lost KSh11.4 million through 38 suspicious transactions, a pattern like the one later seen in the microfinance case.
Investigators said the payment system had been bypassed and the money moved quietly through the Pesa Link platform
Inside his apartment, officers found what they described as a fully equipped IT lab, containing high-powered computers, servers, routers, customized software, a money‑counting machine, and safe equipment they believed could support major cyber operations
On September 3, 2025, a court ruled that detectives had not provided enough evidence to hold him and released him on a KSh1 million bond or KSh500,000 bail. His electronics were ordered to be returned.
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Why He Was Rearrested
Not long after he walked out of court, Seth was rearrested by plainclothes officers. At the time, police did not reveal the reason.
However, new findings from the DCI now show that the earlier betting‑firm case and the new microfinance case point to the same suspect, using a similar method involving 38 fraudulent transactions and KSh11.4 million.
Investigators believe both incidents form part of a bigger cybercrime pattern linked to Seth. The matter will be returned to court on March 3, 2026, as detectives follow the money trail.
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