The case involving five former Kenya Union of Savings and Credit Co-operative Societies (KUSCCO) officials accused of fraud and stealing Sh82.8 million will proceed in June.
Milimani Senior Principal Magistrate Dolphina Alego directed that the hearing will run for three consecutive days from June 23 to June 25, 2025.
KUSCCO officials’ Sh82M fraud case set for hearing
The matter came up for mention on Monday to confirm whether the prosecution had supplied the defence with the required documents.
Magistrate Alego confirmed that the case was ready to proceed after the defence confirmed receipt of the documents.
“The purpose for today’s mention was to confirm the sufficiency of documents. The hearing of the matter will also proceed as scheduled from June 23 to 25, 2025, for completion,” the magistrate directed.
The court also ordered the accused persons to appear physically during the hearing.
Defence confirms receipt of documents
Defence lawyer Apollo Mboya confirmed that the prosecution had supplied the documents and statements to all the defence teams.
“Your honour, I confirm the prosecution supplied all the required documents and statements to all counsels representing the accused persons,” Mboya told the court.
The development clears the way for the hearing to begin on June 23.
Five former KUSCCO officials face charges
The accused include former KUSCCO National Managing Director David Magutu Mwangi, George Otieno Ototo, former Finance Manager George Ochola Owino, Mercy Muthoni Njeru and former Legal Officer Jackline Atieno Omolo.
The prosecution has charged the five with nine counts.
The charges include stealing, fraud, money laundering, making false documents and uttering false documents.
The accused persons have denied all the charges.
Officials accused of stealing Sh82.8 million
The prosecution alleges that Mwangi, Ototo, Owino and Muthoni stole Sh82,826,000 belonging to KUSCCO.
The alleged theft occurred between October 9, 2020 and April 30, 2022.
The prosecution claims the accused diverted the money that KUSCCO intended to use to purchase land identified as LR 23269/35 in Nairobi.
The accused allegedly entered into a sale agreement for the property while knowing that the Sh82.8 million represented proceeds of crime.
Accused face money laundering allegations
The five also face money laundering charges under the Proceeds of Crime and Anti-Money Laundering Act.
The prosecution alleges that the accused used accounts held by Jackline P.A. Omolo & Advocates at KCB and M Oriental Bank to conceal the nature and source of the money.
Investigators claim the accused knew, or reasonably should have known, that the funds originated from criminal activity.
The prosecution further alleges that the accused conspired with other individuals who are not before the court to divert the money.
Forged land sale agreement alleged
The accused also face allegations involving a sale agreement for LR 23269/35.
The prosecution claims the accused made and uttered the agreement intending to make it appear genuine.
Separately, Omolo allegedly presented a forged sale agreement to KCB Bank’s University Way Branch.
The prosecution alleges that she presented the document as a genuine agreement involving the property.
Accused released on bond
The accused persons were released on varying bond terms ranging from Sh7 million to Sh10 million.
They will now return to court for the hearing of the KUSCCO officials’ Sh82M fraud case.
The hearing is scheduled to run from June 23 to June 25, 2025.
