Detectives from the Directorate of Criminal Investigations (DCI) have arrested two suspected fraudsters believed to be behind a Ksh.720 million fake gold scam targeting foreign investors.
The suspects, both Kenyan nationals, were arrested during a sting operation in Nairobi’s Kilimani area after weeks of surveillance and intelligence gathering.
According to preliminary investigations, the duo posed as licensed gold traders and promised investors a large shipment of gold to Dubai before disappearing with the money.
Sophisticated Gold Fraud Operation
Authorities revealed that the suspects ran a well-coordinated scheme, complete with forged documents, fake gold bars, and even counterfeit customs certificates to convince their victims.
Detectives recovered several items during the raid, including metal boxes, fake gold samples, and laptops believed to contain transaction records.
“They created the illusion of a legitimate business by renting office space, hiring staff, and printing branded paperwork,” said an officer familiar with the operation.
DCI Confirms Ongoing Investigations
The DCI confirmed that the arrested suspects are linked to a larger syndicate operating between Kenya, Uganda, and the UAE, which has been defrauding investors under the guise of genuine gold trade.
“We are analyzing evidence to identify other accomplices and trace the stolen funds,” DCI Director Mohamed Amin said in a statement.
The suspects are expected to face charges of obtaining money by false pretenses and conspiracy to defraud once investigations are complete.
Victims and Warning Issued
Authorities say several foreign nationals have already recorded statements as victims in the case. The DCI has cautioned investors to verify all gold deals with the Ministry of Mining before committing funds.
“Legitimate gold exports are done through official government channels,” Amin emphasized. “Anyone demanding quick cash or private deals is a likely scammer.”
Conclusion
The arrests highlight Kenya’s ongoing struggle with fake gold syndicates, which continue to exploit unsuspecting investors through elaborate scams.
As the investigation widens, detectives believe more arrests will follow in the coming days, possibly exposing one of the country’s largest gold fraud networks in recent years.
