Patroba Odhiambo Tobias, popularly known as “Ishmael,” and Nairobi-based lawyer Alphonce Collins Odoyo Osewe have been charged over a fake gold deal that allegedly defrauded two individuals of more than KSh 35 million.
Prosecutors say the two convinced their victims that they could supply 400 kilograms of gold bars, a claim that later proved false. One of the complainants, Bernard Shiaundu Aete, is reported to have lost USD 260,400, equivalent to about KSh 35.7 million, after trusting the transaction.
The suspects are facing six counts, including obtaining money by false pretenses and acquiring proceeds of crime. Prosecutors allege that they received the funds while knowing, or having reason to believe, the money had been obtained fraudulently.
During the court session, lawyer Osewe failed to appear after his legal team informed Chief Magistrate Lucas Onyina that he had been hospitalised at Aga Khan Hospital and was unable to attend the plea taking.
His co-accused, Tobias, appeared in court and pleaded not guilty to all charges. The prosecution, led by state counsel, requested more time to file an affidavit opposing his release on bail, arguing that the charges were serious and the investigations ongoing.
Magistrate Onyina granted the prosecution until tomorrow to file their application and ordered Tobias to be remanded at the Capital Hill Police Station pending further directions.
The case has drawn attention amid an increase in gold-related fraud cases in Nairobi, where unsuspecting investors have been lured into parting with millions in bogus mineral deals.
