Two Kenyan traders charged with allegedly defrauding US citizen Sh133m in gold scam
In a fictitious gold deal, two Nairobi dealers are accused of scamming a foreign businessman of KSh133 million.
Nicholas Otieno Ndolo and Thomas Otieno Ngoe appeared in front of senior principal magistrate Zainab Abdula in Milimani.
They are accused of falsifying a mineral export authorization, gaining money by deception, and three charges of conspiring to commit felonies.
The two dealers allegedly planned to swindle American Seth Adam Bernistein between February 3 and November 11, 2023, of USD 1,000,000 (KSh133 million).
The two falsely represented that their company, DSI Mining and Minerals Company Limited, was in a position to pay customs duty for 3,000 kilograms of gold to be shipped from Kenya to Dubai on February 11, 2023, when they actually went to Equity Bank Yaya Centre and got USD 1,000,000 (KSh133 million) from Mr. Bernistein.
Ndolo was separately accused with fabricating an East African Community Customs-issued Mineral Export Permit with reference number EAC/22/92709141705/2022 dated May 16, 2022. The three counts were refuted by both merchants.
Their defense attorney, Timothy Okello, requested that they be released on bond at the hearing.
Okello pleaded with Ms. Abdul to release the suspects on the same conditions as the Kibera Court magistrate, who had previously freed them on KSh500,000 cash bail apiece.
The case will be presented for pre-bail directives on April 13, 2023, after which Ms. Abdul will release each of the defendants on cash bail of KSh500,000. The state prosecutor, Abel Omariba, did not object to the bail petition.
Ndolo and Ngoe cooperated with the police during investigations and appeared in court for prosecution as instructed by the Kilimani DCIO, Okello had earlier told the court. Ms. Abdul gave the prosecution the go-ahead to provide the accused with witness statements so they may prepare their defenses.
The Directorate of Criminal Investigations requested that the two traders be held in custody for 14 days without bail when they appeared before Kibera Senior Principal Magistrate Charles Mwaniki two weeks ago. Mwaniki denied the request.