Three people, among them a senior manager, have been charged with stealing more than Sh40 million from Afya Sacco Society Limited through alleged fraudulent transactions involving FOSA accounts.
The accused — Evans Mung’ahu Kola, Fredrick Kuya Libako and Mumina Mutinda Ingui — appeared before Lukas Onyina at the Milimani Law Courts, where they pleaded not guilty to the charges.
Alleged Sh40 Million Fraud Scheme
According to the prosecution, the trio conspired to defraud Afya Sacco Society Limited by creating fraudulent deposits and withdrawals from Front Office Service Activity (FOSA) accounts, falsely representing that the transactions were legitimate.
The alleged scheme resulted in a loss of Sh40,169,165.69, the property of Afya Sacco Society Ltd.
The offences are said to have been committed between April 20, 2021, and January 31, 2025, at Afya Sacco offices in Nairobi, jointly with another suspect who is yet to be arrested.
Manager Among Key Accused
Prosecutors told the court that Evans Mung’ahu Kola, who was serving as the Afya Micro Credit Activities (AMCA) Manager, and Fredrick Kuya Libako are also charged with acquiring Sh10,714,999.72, which they allegedly knew or ought to have known formed part of the proceeds of crime deposited in a FOSA account.
In a separate count, Kola and Mumina Mutinda Ingui are accused of acquiring an additional Sh24,950,999.97, also alleged to be proceeds of crime siphoned from the Sacco.
Facing Multiple Charges
The accused persons are facing several counts, including:
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Conspiracy to defraud
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Acquisition of proceeds of crime
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Use of proceeds of crime
The prosecution argues that the funds were unlawfully obtained and laundered through internal Sacco systems to conceal their origin.
Court Releases Accused on Bond
After taking their plea, Chief Magistrate Onyina released the three accused persons on a bond of Sh2 million each, pending the hearing and determination of the case.
The matter will be mentioned on a later date for directions and pre-trial proceedings.
The case adds to the growing list of high-value fraud prosecutions involving savings and credit cooperative societies, highlighting ongoing concerns over internal controls and financial governance within Saccos.