Kenneth Onyango, the former executive director in charge of commercial banking at Equity Bank, is scheduled to appear at the Anti-Corruption Court to answer charges related to a 62 billion shilling fraud case within the institution. Onyango, responsible for overseeing some of the bank’s daily operations, was apprehended on Thursday, April 11, 2024, from a hideout in the suburbs of Kampala. This arrest follows an ongoing investigation into fraudulent activities involving several employees of Equity Bank.
Five other individuals from Equity Bank, including Julius Musiime, Erina Nabisubi, Fred Ssemwogerere, Crescent Tumuhimbise Tibarwesereka, and Wycliff Asiimwe, have already been charged with conspiracy to defraud the bank of 62 billion shillings. These charges were filed on March 20, 2024, at the Anti-Corruption Court located in Nakasero, Kampala. Despite their remand to Luzira Prison, their application for bail is awaiting a ruling in the High Court before Justice Lawrence Gidudu, due to jurisdictional constraints faced by the magistrate presiding over their case.
According to the prosecution led by chief state attorney Raymond Mugisa and state attorney Pamela Orokot from the Office of the Director of Public Prosecutions (ODPP), the accused conspired between 2021 and 2024 to defraud Equity Bank through various means in Kampala city and Wakiso district. The allegations include facilitating the disbursement of unsecured loans to unqualified individuals and obtaining credit through false pretenses.
Erina Nabisubi, a relationship manager at Equity Bank, faces specific charges related to obtaining credit by false pretense. It is alleged that she fraudulently incurred debts and concealed the ownership of substantial sums obtained through the bank under false pretenses. Julius Musiime, another accused individual, is charged with money laundering, accused of concealing ownership of gratification received for loan processing.
The Anti-Money Laundering Act and the Penal Code Act outline the penalties for these offenses, ranging from imprisonment to hefty fines. A person convicted of money laundering under the Anti-Money Laundering Act could face up to 15 years in jail or a fine not exceeding two billion shillings. Similarly, under Section 309 of the Penal Code Act, individuals found guilty of conspiracy to defraud could face up to five years in jail.
The severity of the offense of obtaining credit by false pretense, as outlined in the Penal Code Act, is left to the discretion of the court, considering it a misdemeanor.
