Nairobi lawyer in Ksh.1.4 billion Equity Bank heist released on Ksh.30M bond

A Nairobi-based lawyer believed to be involved in a sophisticated Ksh.1.4 billion fraud scheme targeting Equity Bank has been released on a personal bond of Ksh.30 million without surety.

Delivering the ruling, Chief Magistrate Lucas Onyina further directed the accused, Esther Bitutu Kadiki,  to report before the DCI as required.

Detectives from the Directorate of Criminal Investigations (DCI) had asked the court for more time to detain the suspect pending the conclusion of investigations.

According to an affidavit filed before Chief Magistrate Lucas Onyina at the Milimani Law Courts, the DCI’s Banking Fraud Unit unearthed an elaborate Ksh.1.5 billion scheme that saw funds siphoned from Equity Bank (Kenya) Limited.

Investigating officer Inspector Chrispinus Sore Shibanda stated that between May 1 and July 31, 2024, the suspects fraudulently withdrew Ksh.1,499,465,831.29 from the bank’s internal Salaries Remittance General Ledger account. The money was then funneled into multiple external accounts using fictitious system entries to mask its origin and trail.

Authorities say the stolen funds were laundered through complex layers of financial transactions, including large cash withdrawals, interbank transfers, and the purchase of cryptocurrencies.

Esther Bitutu Kadiki, a Nairobi lawyer, is the key suspect in the case. Investigators allege she is part of a well-organized criminal network.

She is linked to two accounts that received a total of Ksh.38.4 million — one belonging to Inforide Point Limited, co-owned with her husband, at NCBA Bank, and another held by her law firm, Kadiki & Advocates, at National Bank of Kenya.

“This is a highly structured criminal operation,” the affidavit states. “Each member had a specific role, from recruiting complicit bank staff and manipulating systems to setting up proxy accounts for laundering the stolen money.”

The DCI has already obtained court orders freezing the suspect's accounts and is examining transaction records to track the movement of funds and identify additional culprits.

Kadiki is believed to be part of a wider network with significant access to Kenya’s banking systems. Authorities say further arrests are expected as the investigation continues under the Proceeds of Crime and Anti-Money Laundering Act, the Computer Misuse and Cybercrimes Act, and the Prevention of Organized Crimes Act.

However, her lawyer, Okenyo Omwansa George, opposed the DCI’s application, arguing that Kadiki is not a flight risk since she voluntarily presented herself to the DCI’s anti-banking fraud unit. He also noted that she is a young mother who has recently tested positive for pregnancy and should be treated with care.