On August 12, 2024, David Machiri Kimani, a manager at Equity Bank Ltd, was arrested in connection with the theft of 1.5 billion Kenyan Shillings (about $10 million). The theft, which has shocked the banking sector, came to light when suspicious transactions were detected on July 10.
The bank’s Internal Control Department spotted unusual activities in the salaries account, where 47 withdrawals were made. The stolen funds were quickly transferred to various accounts in different banks. In banking terms, this process involves corresponding credits, where transaction details are shared between banks. However, in this case, there were no corresponding credits from Equity Bank, making it appear as if the large sums had materialized out of nowhere.
This discovery prompted a deeper investigation by the internal controls team. Their review revealed that Equity Bank had been the victim of a major heist, with the perpetrators managing to steal 1.5 billion Kenyan Shillings, intended for employee salaries and other payments.
Equity Bank’s head of security, Kevin Mwangi, reported the incident to the Banking Fraud Investigation Unit of the Directorate of Criminal Investigations (DCI) the following day. Preliminary investigations by the DCI identified that David Machiri Kimani’s credentials were used to process the fraudulent transactions, totaling 1,545,887,140.49 Kenyan Shillings (about $10.5 million). The fact that Kimani was on leave at the time and held a valid passport made him a prime suspect in the ongoing investigations.
Kimani was apprehended at his Thogoto home in Kiambu County on a Sunday while his family was at church. Witnesses reported that about 10 armed men arrived at the residence around 11 a.m., and Kimani was taken away in a convoy of vehicles.
Approximately 12 hours later, another group of armed men stormed the Mathioya home of Kimani’s father, Peter Kimani Machiri. Security camera footage released by the family showed that the assailants were masked and carrying guns. They used battering rams to break into the house, cut off the electricity, and forcibly abducted Machiri.
As of the latest updates, there was no official application for the detention of the elder Kimani, and no report had been filed with the police regarding his abduction. Kikuyu Police Commander Ronald Kirui stated that there were no reports at any police station in Kiambu County. The banker’s wife remains missing, adding to the family’s distress. Her whereabouts are still unknown, and her mobile phone has been turned off.
Investigations have revealed that the scheme was orchestrated at Britam Towers, involving multiple units within the bank. Kimani had taken sick leave in early June, a period during which there was communication between various departments about aligning with the bank’s policies. The accounts involved in the fraudulent transactions were mostly new, indicating that they might have been created specifically for this scheme.
The DCI suspects that the businesses receiving the stolen funds were likely set up to facilitate the laundering of the money. On July 11, investigators flagged several accounts that had received the funds without proper source documentation and began pursuing the main beneficiaries.
In a court application on July 12, the DCI requested permission to detain Kimani for 21 days to complete the investigation. They argued that the fraudulent transaction had caused significant economic harm to Equity Bank and could jeopardize the interests of local, international, and government entities. The court was informed that Kimani might be a flight risk due to his possession of a passport and properties in Thogoto and Kairi sub-location.
The detective’s application included a request to detain Kimani at Kileleshwa police station for 21 days. Although the court did not grant the request, Kimani was released on bond. Kimani’s wife reported that the family had been at church shortly before the raid and that their dogs had barked at the armed men attempting to break into their home.
