Michael Otieno Owano Arrested in Sh182M Fake Tender Scam

Last Updated on March 4, 2026 by miles miles

Michael Otieno Owano Arrested in Sh182M Fake Tender Scam

Update: This case was first reported in November 2024 when lawyer Michael Otieno Owano was arrested at Milimani Law Courts over an alleged Sh182 million fake tender scam targeting a foreign investor.

A lawyer was arrested at the Milimani Law Courts over an alleged Sh182 million fake tender scam targeting a foreign investor.

Michael Otieno Owano was arrested by detectives from the Directorate of Criminal Investigations (DCI) when he appeared in court for the mention of another case.

read:Tabitha Minee Mutua Charged in Sh1.6 Million KeRRA Makueni Road Tender Fraud Case

Alleged Fake Tender Scheme

According to detectives from the DCI’s Operations Support Unit (OSU), the advocate was part of a group involved in the alleged fraud in 2022.

Investigators say Owano posed as the head of a company together with an associate identified as Alvin Alexander.

The duo allegedly lured the proprietor of an American-based firm, Underground Pipeline Rehabilitation Company, to Kenya.

The complainant was reportedly told he would meet government officials to discuss potential tender awards.

Fake Tender Documents Issued

Detectives say the complainant attended several meetings and was presented with three fake tender documents.

The alleged tenders included:

• Supply, installation and commissioning of Area Control Centre equipment

• Consultancy services for an Information Management System (ISMS)

• Supply and installation of Automatic Weather Stations (AWS)

The victim was allegedly instructed to make payments to facilitate the tenders and work permits.

Sh182 Million Allegedly Paid

Investigators say the complainant transferred a total of USD 1,617,200, equivalent to about Sh182.7 million.

The payments were allegedly made through four escrow accounts operated by different law firms.

According to investigators, Owano Michael & Company Advocates received USD 90,000 (about Sh11.6 million) as legal fees linked to the contracts.

read:Central African Man Charged in Nairobi Over KSh 1M Tender Fraud Scam

Accomplices Still Being Sought

The DCI confirmed that Owano was arrested and later released on cash bail.

Authorities are waiting for the Office of the Director of Public Prosecutions (ODPP) to approve charges.

Detectives say other suspects are still being pursued.

Probe Into Wider Fraud Network

Investigators are also examining the role of several lawyers and a suspected fake advocate in related fraud schemes.

Authorities believe some scammers collaborate with rogue immigration officials to intimidate foreign victims after defrauding them.

According to investigators, some corrupt officials allegedly place unjustified travel alerts on foreigners who report fraud cases.

Growing Concerns Over Gold and Tender Scams

Kenya has experienced numerous cases involving fake gold and tender scams targeting foreign investors.

In response to the rising concerns, the Law Society of Kenya (LSK) previously agreed to report suspicious transactions by advocates to the Financial Reporting Centre (FRC).

Investigations into the alleged fraud network remain ongoing.