Police seize fake Sh2 billion from a Barclays Bank safe box

Police said they had established the four suspects were part of an international syndicate. [Edward Kiplimo, Standard]

A corporate executive almost lost Sh10 million to suspected fraudsters who had stashed fake Sh2 billion in a city bank.

The manager of a top company had already bought into the fraudsters’ story, posing as international investors having seen the “cash” which they passed off as capital for their venture in a safe deposit box at Barclays Bank’s Queens Way Branch.

According to police, reportedly after a deal gone sour, they were tipped by an informer that the top company manager was to deposit the money in the account linked to the suspects at the bank on Nairobi’s Mama Ngina Street yesterday.

The officers from Flying Squad called the manager, who seemed shocked at how the police had learnt of the issue.

They kept him in their office and later noticed the men behind the syndicate were calling him to keep time as they were waiting for him at the bank.

In the meantime, four suspects, who were later arrested, were waiting for the manager at the bank to deposit the Sh10 million for their venture.

Led to safe

It was then that the officers went to the bank and arrested the four before they were led to the safe where they stumbled on the fake money in a black box.

Director of Criminal Investigations George Kinoti said they had learnt that the men behind the syndicate had stashed the money at the safe on November 25, 2017.

Given the long time they had kept away their scheme, it could be a pointer to the big number of unsuspecting Kenyans and foreigners who may have fallen prey to the suspected fraudsters.

“We will talk to all involved to know how this was possible. It shows many people were involved, which is unfortunate,” said Mr Kinoti.

Barclays Bank of Kenya said a customer who held a personal safe deposit box at Queensway was intercepted by police at the branch.

“The customer had concealed fake currency in his personal safe deposit box against the bank’s rules and regulations, which include restrictions of items which can be held in the safe deposit box,” it said.

It added: “Barclays Bank, in the usual course of business, offers safe deposit boxes. The contents of personal safe deposit boxes are not part of the bank’s deposits and are only known to the client. We continue to fully cooperate and assist the authorities with this investigation,” the bank said in a statement.

Police said they had established the four suspects were part of an international syndicate that had been conning unsuspecting investors using the fake money.

They would lure the investors to the bank and show them the box containing the money to convince them that the money was real and that they were serious investors.

They told their targets they wanted to invest in, among other places, Turkana oil.

“We suspect there are many others out there who have been conned this way but are fearing to speak out,” said one officer.

One of the suspects arrested yesterday is a foreigner, who police described as Mzungu wa Ngara (The Ngara Whiteman). He was said to have been jailed in Uganda for fraud before he came to Kenya and set up his base.

It is not clear if there are other players in the con game, but Kinoti promised to get to the bottom of the matter.

Among those questioned yesterday were the bank’s branch manager and other officials.

They were asked why they did not raise suspicion on the numerous visits — sometimes weekly — that the bogus customers made to the safe since 2017 in the company of others.

The fake money was later taken away through a back door, as Kenyans that had learnt of the developments camped outside the bank saying they wanted a share of the money. 

The suspects, too, were driven away amid push-and-pull, as the surging crowd bayed for their blood. The crowd outside the bank had bought many theories on social media concerning the said money.

Initially, reports indicated the fake money was Sh17 billion ($170 million) but Kinoti said just over Sh2 billion had been seized.

This complicated the many theories that were being thrown around.

Sh32.6 billion

The discovery comes weeks after investigators found Sh32.6 billion in fake foreign currency and gold in Ruiru, Kiambu County.

Explanations offered relating to yesterday’s seizure left many questions unanswered, including how the suspects ferried the reported fake currency weighing at least 200kg.

While the story had initially been reported as Sh17 billion worth, the bank later suggested that the treasure trove was actually only Sh2 billion in fake US dollar notes, which would be at least 200,000 currency notes — each typically weighing just a gramme.

Barclays Bank indicated that it was practice world over that bank staff do not know the exact details of the treasures stored in safe boxes on behalf of customers to prevent collusion in potential theft aided by insiders.

So what is a safe box?

This is typically a steel box located in a highly-secured part of a bank, which customers can lease from a bank for a specified period, at a fee.

Such boxes can be leased by one or several individuals or entities, meaning each would have sub-leased and paid rent depending on the utilised space.

This box is only accessed during normal banking hours and with prior arrangement initiated by the client.

A safe-deposit box is often utilised to keep confidential and prized possessions, including title deeds, marriage certificates and jewellery.