*At least Sh5.5bn transacted by one firm in seven months
The High Court has frozen the accounts of two Nigerian companies suspected to have siphoned more than Sh6 billion into the country.
Lady Justice Esther Maina issued the orders in two separate suits filed by the Asset Recovery Agency against Korapay Technologies Limited and Kandon Technologies Limited over claims that they are being used by fraudsters as conduits of international money laundering.
In the first case against Korapay Technologies Ltd, Justice Maina froze $249,990 (Sh29.5 million) in their account at Equity Bank, while Kandon Technologies Ltd had its Sh15 million in two accounts at UBA bank frozen.
“The court issues preservation orders prohibiting the respondents or their agents from withdrawing or transferring the money in the stated accounts for six months to allow Asset Recovery Agency complete investigations in the allegations of money laundering,” ruled Justice Maina.
ARA, in its suit against the two companies, argued that they are part of an international ring of fraudsters who have been using Kenyan banks as conduits of illicit money whose source cannot be established.
.
In the case against Kandon Technologies Ltd, ARA claimed that they siphoned Sh5.5 billion which was transacted through their bank account at UBA in a period of seven months between October 2021 and April this year.
“Our investigations revealed that their account had transacted Sh5.5 billion in seven months and by the time we got intelligence information that they were engaged in money laundering, they had transferred the funds to other jurisdictions with only Sh15 million remaining,” said ARA.
The company is listed as owned by Nigerian nationals Uzoamaka Pauline Okoro with 200 shares and Ayowole Oluwasen Ayodele with 800 shares.
ARA claimed that the company received huge cash amounts from foreign jurisdictions which were then hurriedly transferred to other bank accounts in a move to disguise and conceal the source and destination of the suspected illicit funds.
According to ARA, they have established that the Nigerian firms are shell companies incorporated in Kenya for purposes of taking advantage of the liberal financial system to launder funds whose sources are not legitimate.
For Korapay Technologies Ltd, the State agency said they established it is owned by Gideon Oghenetega Orowiroro and Dickson Chukwuma Nsofor who had been receiving millions of shillings in their accounts before the money is transferred to other individuals.
“We established that they received the Sh29.5 million in a single transaction which raised suspicion as to the source of the funds,” said the agency.
According to ARA, the two companies are linked to five other Nigerian firms and a Kenyan businessman whose 62 bank accounts with over Sh6 billion were frozen last week over allegations that they are engaged in card fraud and international money laundering.
ARA, in its application, claimed that Flutterwave Ltd, Elivalat Fintech Ltd, Hupesi Solutions, Boxtrip Travels and Tours, Bagtrip Travels Ltd, Cruz Ride Auto Ltd, and businessman Simon Karanja were the entities behind the alleged money laundering scheme involving Sh6.2 billion.
The High Court has frozen the accounts of two Nigerian companies suspected to have siphoned more than Sh6 billion into the country.
Lady Justice Esther Maina issued the orders in two separate suits filed by the Asset Recovery Agency against Korapay Technologies Limited and Kandon Technologies Limited over claims that they are being used by fraudsters as conduits of international money laundering.
In the first case against Korapay Technologies Ltd, Justice Maina froze $249,990 (Sh29.5 million) in their account at Equity Bank, while Kandon Technologies Ltd had its Sh15 million in two accounts at UBA bank frozen.
“The court issues preservation orders prohibiting the respondents or their agents from withdrawing or transferring the money in the stated accounts for six months to allow Asset Recovery Agency complete investigations in the allegations of money laundering,” ruled Justice Maina.
ARA, in its suit against the two companies, argued that they are part of an international ring of fraudsters who have been using Kenyan banks as conduits of illicit money whose source cannot be established.
In the case against Kandon Technologies Ltd, ARA claimed that they siphoned Sh5.5 billion which was transacted through their bank account at UBA in a period of seven months between October 2021 and April this year.
“Our investigations revealed that their account had transacted Sh5.5 billion in seven months and by the time we got intelligence information that they were engaged in money laundering, they had transferred the funds to other jurisdictions with only Sh15 million remaining,” said ARA.
The company is listed as owned by Nigerian nationals Uzoamaka Pauline Okoro with 200 shares and Ayowole Oluwasen Ayodele with 800 shares.
ARA claimed that the company received huge cash amounts from foreign jurisdictions which were then hurriedly transferred to other bank accounts in a move to disguise and conceal the source and destination of the suspected illicit funds.
According to ARA, they have established that the Nigerian firms are shell companies incorporated in Kenya for purposes of taking advantage of the liberal financial system to launder funds whose sources are not legitimate.
For Korapay Technologies Ltd, the State agency said they established it is owned by Gideon Oghenetega Orowiroro and Dickson Chukwuma Nsofor who had been receiving millions of shillings in their accounts before the money is transferred to other individuals.
“We established that they received the Sh29.5 million in a single transaction which raised suspicion as to the source of the funds,” said the agency.
According to ARA, the two companies are linked to five other Nigerian firms and a Kenyan businessman whose 62 bank accounts with over Sh6 billion were frozen last week over allegations that they are engaged in card fraud and international money laundering.
ARA, in its application, claimed that Flutterwave Ltd, Elivalat Fintech Ltd, Hupesi Solutions, Boxtrip Travels and Tours, Bagtrip Travels Ltd, Cruz Ride Auto Ltd, and businessman Simon Karanja were the entities behind the alleged money laundering scheme involving Sh6.2 billion.
*CULLED FROM THE STANDARD
