How a retired teacher lost Sh7.5m in a get-rich-quick scam

A retired teacher lost a staggering Sh7.6 million in what the Directorate of Criminal Investigations (DCI) says was a fake gold deal.

The victim, identified as Grake Kinya Kiruki, thought she had struck a deal that was going to make her millions richer, but ended up millions poorer in the end.

According to the DCI, Ms Kiruki, 61, was allegedly a victim of a sophisticated fake-gold investment scheme after being attracted by what initially appeared to be a promise of 'massive returns'.

According to Imenti North Sub-County Criminal Investigations Officer Hassan Bonaya, Kiruki first met the suspect, identified as Dennis Kinoti, when he gave her a lift home, and they ended up exchanging phone numbers.

Mr Bonaya says in their engagement, Kinoti told Kiruki about a business deal in which he convinced her to invest, because he had no 'financial muscle'.

"That he has no financial muscle and if she can, they can strike a deal of gold business so that he can get a certificate to engage and that the money that she is wiring is going to be doubled. So the lady was lured and she was trapped in the scheme," Bonaya said.

The sleuth said the first instalment was Sh3m through the bank, followed by multiple transactions through the bank and M-Pesa.

Bonaya said the DCI had launched a manhunt for potential accomplices, including a person allegedly working at the Central Bank of Kenya who was to facilitate a faster payment plan from the gold deal.

"He had also received a share of the loot. He is on our radar," he said.

Kiruki reported the matter at the Meru Police Station said at some point after Kinoti disappeared and blocked her phone lines and became unreachable.

When he was brought before A.S Lesootia as he faces a charge of obtaining Sh7, 595, 309 by false pretence through a fake gold transaction deal, the DCI sought to detain Kinoti for 15 days, to allow the agency to complete its investigations.

In his affidavit, investigating officer Eric Kimanthi said Ms Kiruki, a former employee of the Teachers Service Commission (TSC), transferred the said monies to Kinoti on diverse dates between February and April 2026, from her M-Pesa and two commercial banks.

"That the respondent had informed the complainant that he would refund the money together with interest within a short period," Mr Kimanthi said.

He added, "That upon receiving the said money, the respondent began giving excuses as to why he had not refunded the complainant and subsequently blocked the complainant's phone lines, becoming unreachable and thereby prompting the complainant to report the matter to the police for investigations."

Police arrested Kinoti at his residence at Gakurine, where a Safaricom SIM card believed to have been used in the commission of the offence was recovered and a motor vehicle registration KCS 611N, a Volkswagen Passat confiscated and towed to the station.

"That a statement under inquiry was recorded from the respondent wherein he admitted receiving Ksh3, 000, 000 from the complainant, alleging that the amount was financial assistance intended to settle his debts and was not refundable," Kimanthi said.

In seeking to detain him, the DCI officer said investigations were incomplete, and require forensic examination of the recovered mobile phone, SIM cards, WhatsApp messages, call logs and text messages believed to have been used in the commission of the offence.

"That investigators are yet to obtain and analyse M-Pesa and bank transaction records to establish the complete financial trail and extent of the fraud," he said.

Lesootia released Kinoti, who was represented by Charles Muchiri, on a bond of Sh20, 000 or a cash bail of Sh10, 000, and set the next court appearance for June 11.