Revealed: How slain drug baron Swaleh Ahmed built multi-million empire

Slain drug baron Swaleh Yusuf Ahmed and his wife Asma Abdalla Mohamed at the Shanzu Law Courts in Mombasa County. [File, Standard] A court has uncovered the intricate details of how slain coast drug baron Swaleh Yusuf Ahmed, alias Kandereni or Candy Rain, along with his mother, wife, and child managed to amass vast multi-million-shilling assets over the years through trafficking drugs. A detailed 19-page judgement delivered by Justice Patrick Otieno of the High Court Anti-Corruption Division outlines how Swaleh, who is believed to have inherited the notorious Akasha drug empire at the Kenyan Coast, used his illicit drug earnings to acquire substantial wealth. Swaleh, who died on March 17, 2024 in Kilifi County is said to have acquired assets, including prime properties in Mtwapa through his family members following his involvement in international drug trafficking. In his decision, Judge Otieno declared that the assets, which included over Sh2 million held in various bank accounts belonging to Swaleh's mother Jauria Yusuf Ahmed, and his wife, Asmar Abdalla Mohamed, and four large parcels of land in Kilifi County are proceeds of crimes and ordered to be forfeited to the state. Otieno ruled that these unexplained assets were acquired illegally through sale and distribution of drugs and ordered their immediate surrender to the government. "In this matter where it is demonstrated that the assets here are proceeds from trafficking in narcotics, with known devastating effect on society, especially youth who get rendered zombies, the dictate is even more compelling," Otieno ruled. The court detailed how Swaleh's mother Yusuf and his widow Abdalla had failed to provide credible explanations for the origin of their wealth despite their significant investments in prime properties in the coastal region. "The evidence availed establishes on a balance of probabilities that Swaleh's mother, Jauria, and wife, Asmar, received money from unexplained sources in a manner that raises reasonable suspicion that the funds were proceeds of crime. The prima facie proof was due for rebuttal, but the respondents failed to do so," Justice Otieno ruled. The decision comes after extensive investigations by the Asset Recovery Agency (ARA) which exposed a vast network of illicit financial transactions linked to Swaleh's family. The State agency revealed that Swaleh's criminal network is believed to have operated for years. According to ARA detectives, Swaleh, when aged 20 to 23 was able to receive millions of shilling into his bank accounts and M-pesa believed to be proceeds of heroin trafficking. "For instance, between 2014 and 2016, when Swaleh was aged 20 to 23, his accounts transacted huge sums of money reasonably believed to be proceeds of heroin trafficking," ARA told the judge. Evidence tendered in court by ARA investigating officer Kipkurui Serem shows how the investigation into Swaleh's operations uncovered a web of illicit transactions that involved the transfer of drug money through various accounts, designed to conceal the true nature of the funds. The ARA's investigation also revealed that Swaleh and his family had used criminal proceeds to acquire large parcels of land and property. These assets were often registered under the names of relatives, including his mother, wife, and child, to conceal their ownership. "The investigations, however, established that none of the respondents had any known means of income, as none had ever filed any tax returns. Hence, the identified assets are deemed proceeds of crime," the agency said. The agency stated that its probe was triggered by the arrest and arraignment of Swaleh and his wife at Shanzu Law Court over allegations of trafficking drugs worth Sh110,292,000, recovered from the house of one of the mules, Nuru Murshid Mahfudh. Asmar has since been sentenced to 40 years in jail after the court found her guilty of trafficking drugs. ARA also revealed that its investigations established that Swaleh and his family ran a syndicate in which mules were assigned to transport and deliver drugs. The ARA's case was bolstered by significant evidence, including the seizure of 201.1 grammes of heroin valued at Sh603,300, recovered from a vehicle and residence linked to Swaleh. Additionally, suspicious cash deposits and transfers in the names of Swaleh's relatives further implicated them in money laundering activities. "Subsequent investigations revealed that income from the illicit trade in narcotics was disguised and funneled into the accounts of Swaleh's mother and wife," officer Kipkurui testified in court. The agency maintained that there were reasonable grounds to believe that the traced property was unlawfully acquired from the illicit trade in narcotic drugs and that the bank accounts of Swaleh, his mother, wife, and child were used as conduits for money laundering. "The bank and M-Pesa documents and statements were analyzed, revealing suspicious, large transactions involving over 100 individuals and various M-Pesa agents," ARA officer informed the judge. The agency further pointed out that cash deposits below the reporting thresholds were used as a tactic to avoid suspicion in accounts operated by Swaleh's mother, wife, and child, an apparent strategy to launder the proceeds of crime. "The use of cash withdrawals and transfers from and into these accounts was a method of concealing the sources and destinations of funds, often in sums less than Sh1,000,000, to evade legal and financial regulations." The court papers show, for instance, Swaleh's mother made over 14 deposits of Sh100,000 between July 2022 and June 2023 and could not expressly give an explanation of where she got the money from. Evidence also availed in court showed that the widow of Swaleh opened an account at DTB Bank at the age of 19 and declared herself a car dealer. The account later received suspicious deposits totaling Sh3,015,000 in January 2014 alone. "It was observed that despite declaring herself a car dealer and transacting over Sh3 million in one month, Asmar never filed any tax returns between 2015 and 2022," the court heard. In her defense, Swaleh's mother, Jauria, claimed that one of the properties she owned in Mombasa had been inherited and later sold for Sh1.8 million. In an affidavit filed in court, Jauria provided a sale agreement dated September 5, 2022, to validate the funds in her account. She also revealed that Swaleh was her son and that she had always been a businesswoman selling water and chicken. "The property known as Mombasa/Likoni/2028 was my inheritance, which I sold for Sh1,809,000, with the purchase price paid in two installments of Sh780,000," Swaleh's mother told the court. She argued that the money preserved in her account was not proceeds of crime but legitimately earned from the sale of her inheritance. However, the court dismissed her explanation, determining that the proceeds from the alleged sale were mixed with illicit drug money, making the funds subject to forfeiture. "There was no proof of any business registration, invoices, books of accounts, or records. Even if there had been a sale, the proceeds were commingled with proceeds of crime and thus subject to forfeiture." Swaleh's wife, on the other hand, declined to file a response to the allegations regarding her unexplained assets. But during interrogation, Asmar stated that she allegedly used to run a Tuk-tuk business which used to earn her Sh3 million a month, a fact ARA found to be false. Otieno noted that despite several opportunities to provide evidence of legitimate income, neither Jauria nor Asmar could sufficiently account for their wealth. The court found that the absence of credible documentation and the failure to explain the origins of their wealth rendered their assets vulnerable to forfeiture under the Proceeds of Crime and Anti-Money Laundering Act. The court also issued an order directing Mombasa Chief Land Registrar to transfer the four land parcels belonging to Swaleh's family to Assets Recovery Agency) on behalf of the State.

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