NAIROBI, Kenya Feb 15 – Detectives from the Banking Fraud Investigation Unit (BFIU) have uncovered an elaborate cheque fraud scheme that led to a Sacco losing over Sh16 million.
The probe resulted in the arrest of former Sacco accountant, who is suspected of authorising fraudulent cheque transactions using members’ accounts.
Investigations revealed that the scheme involved 58 cheques that were irregularly issued and cleared, with funds deposited into accounts linked to A businessman and other unsuspecting Sacco members.
Authorities say the fraud was carried out in phases, with an initial loss of Sh6.8 million before an additional Sh9.1 million was siphoned off, pushing the total loss to more than Sh16 million.
Police described the operation as a carefully coordinated scheme involving internal manipulation of Sacco accounts and collaboration with external parties.
The suspect remains in custody as investigators pursue further leads in the case.
