A Kiambu couple conned investors by promising to double their cash deposits but later disappeared after collecting Sh1 Billion.
The incident was first reported in 2014 after Alfred Wangai Mundia and Mercy Nkatha Kirimi, the owners of online forex trading firm VIP Portal, allegedly told clients that they would use their capital to trade stocks in internationally listed companies.
In 2015, around 122 investors lodged a suit against the forex trader seeking compensation for their money, which they claimed had not matured one year after deposit, despite a guarantee that they would receive dividends on their cash within a month.
[caption caption="Investors Storm VIP Portal's Forex Bureau Offices in Limuru Town in 2015"]
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They claimed that they had paid Sh77 Million to VIP Portal, but police records say the suspected fraudsters at one time had more than Sh1 Billion deposits in the account.
“I deposited money with the defendant expecting payment of my initial investment sum plus interest.
"This, however, was not to be as the defendant refused to pay what it owes to me, being Sh5.5 Million.
“The defendant’s actions have been done with the intention of defrauding and swindling me of my hard-earned money and in addition are an express breach of the service agreement between us,” George Mungai, one of the petitioners was quoted by Business Daily.
It is alleged that several investors were lured with returns of up to 80 percent in just 25 working days in a premium package.
There was also a platinum option where investments would grow by 60 percent in 29 working days.
The 122 petitioners claim that they visited the forex trader’s head office in Limuru several times but have been denied information regarding whether they will be paid.
“The petitioners have on several occasions gone to VIP Portal’s registered office to demand payment of their money only to be met with hostility and denied information as to when they will be paid,” added Nellie Wairimu, who was representing the 122 investors in 2015.
The petitioners held that despite serving VIP Portal with demand letters, the forex trader had refused to pay them their dues.
[caption caption="File Photo of Police Outside a Forex Bureau"]
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