Court freezes bank accounts of companies behind Sh51m theft

Kilifi Governor Amason Kingi (right) with Rabai MP William Kamote (left) when they addressed the press at the Tamarind Restaurant over the Sh51 million stolen from the county through the IFMIS system. A court has frozen bank accounts of five companies linked to the theft of the Sh51 million from Kilifi County. (PHOTO: GIDEON MAUNDU/ STANDARD)

Kilifi Governor Amason Kingi is be questioned by anti-graft agents over Sh51 million theft at the county as the names of firms and directors being probed emerged.

A Kilifi court froze bank accounts of five companies as the investigations gathered pace. On Friday, county lawyers sought orders at the Malindi Law Courts to freeze the accounts pending the determination of a suit the devolved
administration has filed.

Principal Magistrate Dominica Nyambu ordered the directors not to interfere with any of their properties. A court has frozen bank accounts of five companies linked to the theft of the Sh51 million from Kilifi County.

This comes as Governor Amason Kingi revealed he will today appear before the Ethics and Ant-Corruption Commission (EACC) to shed more light on the scam.

The court directed Equity Bank, Jamii Bora, Diamond Trust Bank and Consolidated Bank, through whose branches the looted money was wired, to supply statements of account, cash and cheque withdrawal slips, copies of electronic transfer records and any other transaction on accounts of the companies.

The cash transfers between September 29 and October 3 have sparked an uproar in Kingi’s administration.

Kingi suspended 10 officials who claimed their passwords were stolen to transfer the money from the county’s bank accounts at the Central Bank of Kenya through manipulation of the Integrated Financial Management Information System (Ifmis).

CBK managed to reverse a transfer of Sh8 million, reducing the amount successfully transferred by the cyber fraudsters to Sh43.


On Friday, county lawyers sought orders at the Malindi law courts to freeze the accounts pending the determination of a suit the devolved administration has filed to recover the money.

Kilifi Principal Magistrate Dominica Nyambu ordered the directors of the companies not to sell or interfere with any of their properties.

Nyambu gave the order following an application by the Kilifi County government.

The magistrate ordered the county government to serve the parties sued by way of advertisement in any daily newspaper.

Investigators have since traced the accounts into which the money was wired.

The bank accounts have been traced to about five firms whose directors and dates of registration have also been identified.

Daima One Entreprises received Sh11.3 million in two tranches at Ngara branch of Equity Bank.

A Sarah Wangui Kamau is named as a director of the company registered as an MPesa outlet on Juja Road Nairobi on January 28 last year.

Zohali Services Ltd got Sh9.3 million at Jamii Bora Bank in Nairobi. Its directors include Anne Muthoni Kibogo and Lucy Wanjugu Kibogo.

Makegra Supplies received Sh10.3 million in two installments of Sh3.2 million and Sh7.1 million wired after 6.30 pm into its bank account at Consolidated Bank in River Road Nairobi.

Its officials include Mary Munyua Kamau and Samuel Nzioka Kamau as directors and it was registered on May 4, 2015, with its headquarters at Nacico Plaza along Landhies Road, Nairobi.

Leadership Edge Associates received Sh7.8 million at Diamond Trust Bank’s Village Market branch in Nairobi.

Its directors are a Mr Samuel Buku Macharia, Kangai Mwangi and company secretary, Ngugi Mwangi. The company was registered in November 25, 2011 and is situated at Embassy House along Harambee avenue.

Earlier documents identified the fifth Company as Kilingi Investment Ltd  and records show it is located in Umoja One along Outering road in Nairobi. Its officials are Stephen Mutua (listed as company director) Hellen Nzilani and Richard Kariuki. The company, established on April 17, 2009, received Sh6.7 million wired into a Nairobi branch of the Consolidated Bank.

The stage of the investigation is not known but The Standard has established that EACC, banking fraud unit and the Directorate of Criminal Investigation are jointly handling the case.

Kingi said the county had sued the banks to help identify the directors of the companies.

“We want  the banks to give us full information about the directors,” he said.