The arrest follows the earlier capture and arraignment of another suspect on December 7, 2024, who was charged in relation to the same scandal.
The Directorate of Criminal Investigations (DCI) has made a major breakthrough in a high-profile fake gold syndicate case after arresting a key suspect who swindled a foreign investor of $265,200 (Sh34 million).
The suspect, whose name was not disclosed, was arrested by officers from the elite Operation Support Unit (OSU) and is in custody pending arraignment. Detectives say the man was a central figure in the network that has been under investigation since 2024.
DCI said the counterfeit scheme involved fake gold price contracts over 1,080 kg, with false promises of secure delivery, security and legal documentation. Investigations later revealed that the alleged gold was actually a mixture of copper, zinc and tin with no precious metals.
“The fraud involved fake gold purchase contracts totalling over 1,080 kilograms, with false promises of secure delivery, guaranteed collateral and fraudulent legal facilitation,” DCI said.
This is the second suspect to be arrested in the same syndicate after another was arraigned on December 7, 2024.
Manhunt for Accomplices
Two others are on the run and detectives are closing in on them.
Fake Gold Scams Surge in 2024–2025
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This is part of a wave of fake gold fraud that has hit the country in recent months:
January 2025: 14 suspects were arrested in a $1.35 million (Sh174 million) fake gold scam targeting an American investor. The arrests followed weeks of surveillance and culminated in a raid on Chalbi Drive in Lavington, Nairobi.
February 25, 2025: A suspect was arraigned at Jomo Kenyatta International Airport after conning a Romanian and a Swiss businessman of $120,000 (Sh15.5 million).* April 2025: DCI arrested 11 suspects at Spring Valley estate, Nairobi, where they recovered 305 kilograms of fake gold, a weighing machine and an electronic gold tester. The con cost the buyer at least Sh70 million.
May 8, 2025: Four others were arrested in Runda after a raid linked to the Sh25 million fraud of a foreign national through another fake gold scam.
DCI Advice
The DCI has warned investors to be cautious and do their due diligence when trading in gold in Kenya, as the country is seeing sophisticated criminal networks targeting local and international investors in mineral deals.
Investigations are ongoing as the authorities dismantle the syndicates behind the fake gold trade.
The arrest follows the earlier capture and arraignment of another suspect on December 7, 2024, who was charged in relation to the same scandal.
