Nairobi lawyer arrested over Sh79.9 million gold scam targeting Canadian investor
The victim was later asked to send an additional payment of $300,000 (Sh39.9 million) to Tether cryptocurrency, widely used for digital transactions and controlled by the syndicate.
A Nairobi advocate and law firm owner, Michael Otieno Owano, has been arrested for allegedly defrauding a Canadian investor of over $600,000 (about Sh79.9 million) in a gold scam involving 250 kilograms of gold that was never delivered.
The Directorate of Criminal Investigations (DCI) revealed that the investor allegedly wired $318,400 (approximately Sh42.4 million) into Owano’s law firm account at Otieno M.O. Law Advocates after receiving a Proforma Invoice from EAI Logistics.
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The victim was later asked to send an additional payment of $300,000 (Sh39.9 million) to Tether cryptocurrency, widely used for digital transactions and controlled by the syndicate.
Despite the payments, no gold was ever shipped.
"The DCI has intensified its efforts against transnational gold fraud syndicates, responsible for defrauding foreign investors of hundreds of thousands of dollars through elaborate fake gold schemes," DCI said in a statement.
Owano’s arrest follows the earlier detention of Francis Talla Ouafo, a Cameroonian national believed to be the mastermind behind the scam. Ouafo was arraigned at Milimani Chief Magistrate's Court on July 31, 2025.
In a related development, Kelvin Otieno Onyango, also known as Kevo Sonko and alleged director of SwiftTaxis Logistics Ltd, was arrested for facilitating the scam.
Investigators said Onyango’s office was used to negotiate the fraudulent gold deal, during which the complainant transferred $140,000 (approximately Sh18.6 million) into an escrow account.
All suspects are currently in custody as investigations continue.
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