Two law firms marred in Sh33million fake gold scamming plot, one suspect arrested
Two law firms are entangled in a Sh33million (USD 256,000) fake gold scamming syndicate allegedly planned by Steve Okoth Odek, alias David Bett who has since been arrested by detectives attached to the Directorate of Criminal Investigations (DCI) pending his arraignment tomorrow.
Odek had already defrauded a foreign national Sh33million involving over 500kg of counterfeit gold when the illegal scheme was unearthed while in the process to execute a second Sh24million heist against the same complainant.
According to the sleuths who apprehended the suspect yesterday, the payments were made through two law firms in favour of Odek’s company, PCL Natural Resources Limited, which investigations further revealed was not licensed by the Ministry of Mining to deal with gold or any precious metals.
DCI report shows Owano & Associates Advocates Sh16million (USD 126,000) while Alata & Co. Advocates received Sh18million USD 139,200).
Odek was seized by detectives attached to DCI’s Operations Support Unit before his arraignment tomorrow.
The investigations report shows that the complainant entered into two separate agreements with Odek to purchase gold, with the first deal on February 6, 2024, for 500kg at Sh5million (USD 40,000) per kilogram, and the second on March 14, 2024, for another 580kg under similar terms after the initial one failed to materialise.
“Additionally, the detectives have established that the second contract was signed after the first deal failed, where the scammer promised to deliver the gold only after securing certain conditions, which included the buyer’s responsibility for jet chartering, payment of taxes, and insurance.” An update on DCI’s official X handle read in part.
Despite the conditions, Odek failed to deliver the promised gold. To maintain the scam, he provided 20kg of fake gold bars as collateral, which were stored at MySafe Vault which later turned out to be composed of copper, zinc, and tin, with no trace of gold but just a well-executed scam.
“The victim remained unaware that he was being scammed and ended up paying a total of Sh33 million through two law firms; Owano and Associates Advocates and Alata and Co. Advocates.” The DCI added.
After receiving the money, Odek attempted to defraud the victim of an additional Sh24million (USD 188,080).
However, his fraudulent scheme was exposed, leading to a police report and subsequent investigation.
“Detectives recovered the 20kg of ‘gold’ that had been provided as collateral. A thorough analysis revealed that the bars were composed of copper, zinc, and tin, with no trace of gold but just a well-executed scam.” The DCI confirmed.
Further investigations revealed that the company associated with Odek, PCL Natural Resources Limited, was not licensed by the Ministry of Mining to deal with gold or any other precious metals.
