Detectives have uncovered a high level fraud syndicate where scammers have obtained close to Ksh. 500 million through the Safaricom sponsored Fuliza overdraft service.

Eight suspects based in Nakuru and Trans-Nzoia counties

have been arrested in connection with the syndicate that saw many lose money in a well coordinated scheme.

Isaack Kipkemoi, Gideon Rono, Maxwell Ributhu, Gideon Kirui, Moses Rono, Collins Kipyegon and Edwin Cheruiyot were arrested at an apartment in Kiamunyi, while the mastermind Peter Gitahi was arrested in Kitale, Trans-Nzoia County following the meticulous operation by the detectives.

“The young men who were found in possession of thousands of Safaricom and Airtel SIM cards were using fraudulently generated identity cards numbers to register the SIM cards before proceeding to borrow money through the application,” says the Directorate of Criminal Investigations.

DCI says detectives began investigations into the well choreographed fraud after a report was filled to the Banking Fraud Investigations Unit (BFIU) in August 2022, after the managers of the fund detected an unusual spike in Fuliza loan uptakes that were way above their performance scale and the borrowers were not repaying the loans.

According to sleuths from BFIU, over 123,000 new mobile phone numbers opted into fuliza and took up loans in January, 2022.

Thereafter, the SIM cards were either fraudulently vacated or switched off and efforts to reach the customers turned futile.

The suspects who live large in an apartment at Kiamunyi, have through their craft acquired 2 brand new Subarus, one Toyota Mark X, a Toyota Probox and two motorbikes for their ease of movement.

During the operation, the detectives recovered 14 mobicom phones used in registering MPESA user SIM cards, 6 laptops, over 40 mobile phones, 7 routers, assorted Safaricom lines, over 1,000 Safaricom subscribers registration forms, over 200 ATM cards from all major banks and car agreements among other exhibits.

Detectives are currently interrogating the suspects for more insights into the high level fraud before arraigning them in court.