Five held in US over banking fraud
By Cyrus Ombati
Five Kenyans have been arrested over an international scam that allegedly cost the US Government agencies about Sh247 million ($3.3 million) in payments to bogus companies.
The five, according to American media, were scheduled to appear before a magistrate in Minneapolis on Tuesday.
The charges implicate Minnesota residents Michael M ‘Mikie’ Ochenge, 33, Robert M ‘Robe’ Otiso, 36, Paramena J ‘Joseph’ Shikanda, 35, Albert E Gunga, 30, and Collins A Masese, 20.
The felony counts allege Ochenge, Otiso and Shikanda helped devise a scheme that exploited increasing reliance on the Internet by the public and private sectors to conduct business.
READ MORE
Is government on 'fuliza' mode?
Expert: The shilling has regained value, but don't expect it to last
EAC Central Bank Governors meet in Juba as single currency race debate heats up
Ruto to push for global finance reforms at World Bank meeting
Unearthing the artifacts of WWII: A journey through Matuu and beyond
Roam, County Bus Service partner to deploy 200 electric buses
Budget cuts loom for Parliament thanks to Sh9.6b Bunge Towers
Private sector partnerships important to catalysing sports
Tax stand-off as boda boda riders defy county call to pay
Islamic banking gets traction in Africa as Salaam Bank feted
Posing as businesses that provide services to state agencies, the conspirators tricked officials between March and July into giving them money owed to the legitimate vendors, the indictment says.
They managed to skim off $1.2 million from Massachusetts, $919,000 from West Virginia, $869,000 from Kansas and $301,000 from Ohio, the indictment says. The money was intended for either Deloitte Consulting or Accenture Corp.