Three members of the same family have been sentenced to prison after being convicted of stealing and laundering Ksh113.2 million belonging to a Kisumu-based company, Such Enterprises Limited.
The Director of Public Prosecutions (DPP) announced that Christopher Joseph Okal, his brother Vincent Anyumba and their mother, Grace Minayo Okal, were found guilty on all six counts of money laundering and acquisition and possession of proceeds of crime by the Kisumu Magistrate’s Court.
Senior Principal Magistrate Fatuma Rashid sentenced the three to 10 years in prison for money laundering and a further 10 years for acquiring and possessing proceeds of crime.
They were also handed an additional five-year jail term each for conspiracy to commit a felony under Section 393 of the Penal Code.
The sentences will, however, run concurrently.
The case arose from a fraudulent scheme involving the diversion of customer payments and wholesale goods worth Ksh113,227,529 from Such Enterprises Limited between October 2020 and July 2021.
According to the prosecution, Okal, who worked as an accountant at the company, manipulated its accounting system by creating fictitious transactions and diverting customer payments into bank and mobile money accounts linked to his co-accused.
Investigations further established that customers were instructed to deposit payments for goods into accounts associated with the three family members instead of the company’s official accounts.
A forensic document examination and audit report presented in court revealed that Ksh113,227,529 could not be accounted for.
In her judgment, Magistrate Rashid identified Okal as the mastermind behind the fraudulent scheme, noting that he provided his mother’s and brother’s accounts to conceal the trail of money diverted from customers.
The court dismissed the defence’s argument that the transactions were legitimate business arrangements, ruling that the prosecution had demonstrated a coordinated scheme to defraud the company and conceal the proceeds.
The prosecution, led by Deputy Director of Public Prosecutions Daniel Karuri and Principal Prosecution Counsel Douglas Moseti, presented witnesses, including company employees, customers, bank officials, forensic examiners and investigating officers.
Besides the money laundering convictions, Okal received an additional five-year sentence for stealing by servant and fraudulent false accounting, as well as another five years for stealing.
His mother, Grace Minayo Okal, and brother, Vincent Anyumba, were each handed an additional three-year jail term for stealing.
During sentencing, Karuri urged the court to impose a minimum of 10 years against the convicts, citing the seriousness of the theft and their involvement in laundering the diverted funds.
The magistrate subsequently convicted the three under Section 215 of the Criminal Procedure Code after finding that the prosecution had proved all the charges beyond reasonable doubt.
The convicts have 14 days to appeal both their conviction and sentences.
