A US citizen has been arraigned at the Milimani Law Courts for taking part in a sensational gold scam worth more than KSh167 million.
The suspect was on Monday, December 16, charged with conspiracy to commit a felony and obtaining money by false pretences.
According to the Directorate of Criminal Investigations (DCI), the US national posed as a seasoned former banker, investor, and legal consultant who specialised in navigating hostile and complex markets, which he claimed were frequently avoided by US businesses.
Investigations also revealed that the suspect met the complainant, a fellow US national, in July 2023 in Las Vegas, Nevada. The complainant was eventually convinced to secure gold transactions in Africa.
The victim believed the scammer was licensed and paid a signing bonus of USD 50,000 on 29 August 2023, followed by subsequent payments of USD 15,000 on 24 January 2024 and another USD 15,000 on 28 February 2024.
During a trip to Nairobi, Sergio, the suspected scammer, introduced the victim to another American who was posing as an active-duty US soldier with the 19th Special Forces Group. The second scammer was allegedly portrayed as a key contact with critical regional influence.
A Congolese accomplice was also involved in the sensational plot. He posed as the alleged gold seller and licensed exporter at the Four Points by Sheraton Hotel in Hurlingham, Nairobi.
The victim, after signing a Sales and Purchase Agreement for the purchase of 2,820 kilogrammes of gold, paid KSh163 million (USD 1,271,200) to facilitate the transaction between 31 March 2024 and 30 May 2024.
However, the gold consignment was never delivered, prompting the victim to report the matter to the authorities.
The DCI's latest revelation came just days after arresting a Kenyan gold scammer on a different charge.
Months after being released on bond after allegedly trying to defraud a foreign national in a gold scam, the suspect, identified as Brian, was nabbed again on allegations of being the mastermind behind land scams in Nairobi.
The cartel's mode of operation to scam unsuspecting Kenyans involves issuing fake land documents, mostly leases. The scammers typically sell fake credentials by purporting to work at the Nairobi County Lands Registry.
