Noose tightens on suspect implicated in Sh29million fake gold scam case

Public prosecutors have tightened the noose on alleged gold fraud after a Nairobi court charged a man accused of conning a United Arab Emirates businessman out of more than Sh29million in a fake gold deal.

Fred Obach Oliech appeared before the Milimani Law Courts today, Monday, August 3, 2026, where he denied three criminal charges linked to the alleged fraudulent sale of gold worth USD 225,100 approximated to amount to Sh29 million to Oro Trading FZE LLC represented by Kais Lahyani.

According to the charge sheet, Oliech is accused of conspiring with another person who was not before the court to defraud Kais Lahyani, who was acting on behalf of UAE-based Oro Trading FZE LLC.

The prosecution alleges that between June 23 and June 25, 2026, at undisclosed locations within Nairobi County, the accused falsely claimed he was in a position to sell 150 kilograms of gold, inducing the complainant to part with the money.

In a second count, Oliech is accused of obtaining USD 225,100 in cash from Lahyani on June 25, 2026, at Ridgeways in Nairobi by falsely pretending that he could sell 25 kilograms of gold to Oro Trading FZE LLC.

Prosecutors told the court that the representation was false and was made with the intention of defrauding the businessman.

He also faces a third charge of acquisition of proceeds of crime, contrary to the Proceeds of Crime and Anti-Money Laundering Act.

The prosecution alleges that on the same day and at the same location, Oliech received the USD 225,100 in cash knowing, or having reason to believe, that the money was, or formed part of, the proceeds of crime.

Appearing before Senior Principal Magistrate Teresiah Nyangena, Oliech pleaded not guilty to all the charges.

The court granted him a cash bail of Sh400,000 pending the hearing and determination of the case.