NAIROBI, Kenya Feb 23 – Four employees of Kaluworks Limited have been arraigned in court over an alleged Sh31 million internal fraud and money laundering scheme that investigators say was carried out over nearly two years.
The suspects Esbon Wamathu Wandugo, Albert Kiptanui Kosgei, Mary Wamoyo Muriuki and Godfrey Otieno Owino were presented before a Nairobi court following investigations into what detectives described as a calculated and sustained plan to siphon Sh31,053,520 from their employer.
According to investigators, the alleged offences were committed on diverse dates between January 2024 and September 2025 within Makadara, Nairobi County.
“On diverse dates between January 2024 and September 2025, within Makadara, Nairobi County, Esbon Wamathu Wandugo, Albert Kiptanui Kosgei, Mary Wamoyo Muriuki and Godfrey Otieno Owino, allegedly orchestrated a calculated plan to siphon and launder Ksh. 31,053,520 from their employer, Kaluworks Limited,”the statement read.
The four, all employees entrusted with fiduciary and financial responsibilities, are accused of abusing their positions to manipulate internal financial systems for personal gain.
Detectives say the scheme relied heavily on falsification of accounting records. The suspects allegedly omitted key material particulars from financial documents including payment vouchers, cashbooks and ledger accounts, thereby distorting the company’s true financial position.
Through these omissions and alterations, investigators believe the accused were able to conceal unauthorised withdrawals and fraudulent transactions over an extended period without immediate detection, resulting in substantial losses to the company.
“Through these calculated omissions and alterations, they misrepresented the true financial position of the company, effectively masking the unauthorized withdrawals and fraudulent transaction,”the statement read.
Further inquiries revealed that once the funds were allegedly siphoned, the suspects took additional steps to disguise the proceeds.
The money is said to have been channelled into third-party accounts as well as personal bank accounts in what authorities describe as a classic layering tactic aimed at concealing the source, ownership and movement of illicit funds.
The four have been charged with money laundering contrary to Section 3(a) as read with Section 16 of the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA) No. 9 of 2009, acquisition of proceeds of crime contrary to Section 4(a) as read with Section 16(1)(a) of POCAMLA, stealing by servant contrary to Section 281 of the Penal Code, and false accounting by servant contrary to Section 330 of the Penal Code.
They were released on a cash bail of Sh500,000 each with one surety of a similar amount or an alternative bond of Sh3 million. The case will be mentioned on March 5, 2026 for pretrial directions.
