NAIROBI, Kenya, August 9-The Directorate of Criminal Investigations (DCI) have arrested several suspects accused of defrauding foreign investors of hundreds of thousands of dollars through elaborate fake gold schemes on Friday, August 8th.
Heightened operations by the DCI Operations Support Unit nabbed Michael Otieno Owano in connection with a high-stakes scam that allegedly swindled a Canadian investor $618,000 (Sh79,200,000).
According to investigators, the victim was enticed into a fictitious deal for 250 kilograms of gold, purportedly destined for Dubai aboard a private jet.
According to the state investigative agency, on April 15, 2025, the investor received a proforma invoice of $318,400 (Sh41,073,600) from a company identified as EAI Logistics and wired the funds to Owano’s account.
The victim was later instructed to transfer an additional $300,000 (Sh38,700,000) in cryptocurrency to a designated wallet, with no gold delivery made.
The arrest comes days after authorities apprehended Francis Talla Ouafo, also known as Allain, a Cameroonian national believed to be the syndicate’s mastermind.
Ouafo was arraigned on July 31, 2025, at the Milimani Chief Magistrate’s Court in Nairobi.
In a related case, Lupemba Lorenzi Olivier, a Congolese national, appeared at the Milimani Law Courts in connection with a separate fraudulent gold deal targeting a Gabonese investor.
Detectives obtained a seven-day custodial order to complete investigations, with the case set for mention Aug. 13, 2025.
Another suspect, Kelvin Otieno Onyango, alias Kevo Sonko, was also taken into custody. He is alleged to be the Director of SwiftTaxis Logistics Ltd, and allegedly played a role in facilitating the fraudulent transaction.
The complainant was escorted to Onyango’s office, where the gold deal was negotiated and formalised. Subsequently, $140,000 (Sh18,060,000) was transferred into an escrow account.
Authorities have announced that all suspects are in custody and are currently being processed for arraignment.
The DCI stated that the arrests are part of an ongoing campaign to dismantle organised criminal networks that target foreign investors with promises of lucrative gold exports.
“These scams are sophisticated, well-orchestrated, and often involve actors across multiple countries,” a DCI spokesperson said while adding that they are committed to pursuing every lead to bring those responsible to justice.
DCI urges potential investors to conduct thorough due diligence before engaging in gold transactions and to report any suspicious activity to law enforcement.
