A Nairobi businessman has been taken to court for allegedly scamming an American out of Ksh 223 million in a fake gold deal.
David Onyango Ochanda appeared before Magistrate Dolphina Alego, where he denied two charges, conspiracy to defraud and obtaining money by false pretenses.
Court documents state that between March 31 and May 30, 2024, in Nairobi County, Ochanda and others, already charged, conspired to cheat American national Tanner Caldwell Cook of USD 1,271,200 (about Ksh 223.7 million).
The businessman is accused of pretending he could supply 2,820 kilograms of gold, despite knowing the claim was false.
In the second count, Ochanda was charged with obtaining the same amount of money by false pretences, which goes against Section 313 of the Penal Code.
His lawyer requested that he be freed on cash bail or bond, pointing out that his co-accused in a related case had already received similar terms.
The prosecution did not oppose the request and confirmed that the other suspects had been released on a cash bail of Ksh 400,000 or an alternative bond of Ksh 1 million.
Magistrate Alego allowed the same terms for Ochanda, releasing him on a cash bail of Ksh 400,000 or a bond of Ksh 1 million as he awaits trial.
This case has drawn attention as yet another Nairobi businessman fake gold scandal involving foreigners losing millions in fraudulent gold deals.
