Couple charged with 41 counts in multi-million-shilling pension fraud

A couple has been accused of orchestrating a multi-million-shilling pension fraud scheme in which names were allegedly inserted into the payrolls of several pension schemes to obtain retirement benefits unlawfully.

Alex Okoth Nalwenje and his wife, Esther Nyambura Kamande, were arraigned before Kibera Chief Magistrate Stella Atambo, where they denied all 41 charges brought against them over the alleged scheme.

The Director of Public Prosecutions (DPP) accused the couple of working with other individuals who have not been presented in court to manipulate pension records and create the impression that ineligible individuals were legitimate beneficiaries.

According to the prosecution, the scheme involved the irregular addition of names to the payrolls of various pension schemes, allowing the individuals listed to be presented as genuine retirees entitled to receive pension payments and other related benefits.

The alleged fraud resulted in the release of retirement benefits to individuals who were not entitled to receive the payments, with the accused persons facing multiple charges over their alleged involvement in the scheme.

Among the charges are conspiracy to defraud, obtaining money by false pretences and fraudulent false accounting.

The couple also face charges relating to the acquisition, possession and use of proceeds of crime under the Proceeds of Crime and Anti-Money Laundering Act, No. 9 of 2009.

The prosecution team, led by Senior Assistant Director of Public Prosecutions Maryann Mwangi and Principal Prosecution Counsel Michael Mutune, did not oppose the accused persons' applications for release on bail.

However, the prosecutors asked the court to take into account the seriousness of the offences when setting the conditions for their release as the case proceeds.

In her ruling, Magistrate Atambo granted Nalwenje a bond of Sh3 million, while his wife was released on a bond of Sh1 million, with one surety of a similar amount.

Alternatively, Kamande was allowed to deposit cash bail of Sh1 million to secure her release.

The court also imposed additional conditions requiring both accused persons to surrender their passports and report to the investigating officer once every month, unless directed otherwise.

The conditions are intended to ensure that the two remain available to attend court proceedings as the case moves to the next stage.

The matter is scheduled for mention on November 17, 2026, when the court will give directions on the pre-trial process.