A member of Mhasibu Sacco Society Limited was yesterday charged with Sh4.8million fraud unearthed through an investigation by the Sacco Societies Regulatory Authority (SASRA)
While appearing before Milimani Magistrate Gilbert Shikwe yesterday, Andrew Okoth Onanda was accused of fraudulently obtaining Sh4.8million in credit from the society.
Interestingly, the alleged fraud was not flagged internally by Mhasibu Sacco, rather, by the Sacco Societies Regulatory Authority (SASRA), the saccos oversight and regulatory authority through an investigation.
According to the prosecution, Okoth is said to have obtained the money between June 30, 2023 and July 7, 2023 by falsely presenting a Co-operative Bank cheque to offset a previous loan.
He is said to have used his membership to incur a liability of Sh4,893,000, misrepresenting the transaction.
Additionally, Okoth faces charges of money laundering for allegedly obtaining Sh1,821,700 from the sacco between June 30 and July 10, 2023, through his mobile phone number.
Okoth is accused of transferring the proceeds to other accounts, aiding in the concealment of the illicit funds.
Further charges include illegally obtaining Sh922,930 from the sacco, which he allegedly transferred, making it difficult to trace the source of the funds.
The fraudulent activities led to a loss of over Sh4million.
Okoth denied the charges.
The court granted him a bond of Sh2million, with an alternative cash bail of Sh800,000.
The case will be mentioned in two weeks.
