Two more suspects charged in Ksh.1.5B PROFIT fraud case

Two more suspects have been charged in connection with the alleged loss of Ksh.1.5 billion from the Programme for Rural Outreach of Financial Innovations and Technologies (PROFIT).

Paul Mukasiali Shilaho, a sole proprietor of Shilal Supplies and Kemula Agencies, and Billy Otieno Obango, a project accountant at PROFIT, appeared before the Anti-Corruption Court in Nairobi on Tuesday.

According to the Office of the Director of Public Prosecution (ODPP), Shilaho faces six counts of fraud, while Obango faces 45 counts. The two denied all the charges.

During the hearing, the prosecution did not oppose their release on bail or bond but instead asked the court to take into account the nature and seriousness of the alleged offences when determining the terms.

Principal Magistrate Rose Ndombi, in her ruling, granted Shilaho a bond of Ksh.5 million with a surety of a similar amount, or cash bail of Ksh.1.5 million.

Obango was granted a bond of Ksh.15 million with a surety of a similar amount, or an alternative cash bail of Ksh.4 million.

The case will be mentioned on November 3, 2026, for pre-trial directions.

The latest charges bring to 15 the number of suspects charged over the alleged loss of Ksh.1.5 billion under the PROFIT programme.

The case stems from investigations by the Ethics and Anti-Corruption Commission (EACC) into the alleged fraudulent disbursement of Ksh.1.569 billion from the National Treasury Development Account to the PROFIT Programme.

The programme, which was funded by the International Fund for Agricultural Development (IFAD), was implemented between the 2013/2014 and 2023/2024 financial years and was intended to facilitate access to affordable financing for small-scale farmers.

EACC has alleged that the funds were subsequently channelled to private entities and businesses for goods and services that were never supplied or rendered.

The commission also alleged that programme officials used false and forged documents to account for the funds, while an unauthorised PROFIT Programme bank account received Ksh.175 million. 

Charles Cheruiyot Maiyo, a director of Kaplan Logistics Ltd, and Auma Ritah Otieno, the sole proprietor of Ritasshell Enterprises, were each charged alongside their respective companies last month, over alleged unlawful acquisition of public property, acquisition of proceeds of crime and money laundering.

The two pleaded not guilty and were each released on a Ksh.1.5 million bond with a surety of a similar amount, or Ksh.600,000 cash bail.