In a significant breakthrough, detectives from the Directorate of Criminal Investigations (DCI) Operations Support Unit have arrested David Onyango Ochanda, a notorious figure implicated in a sophisticated gold scam that defrauded an American investor of Ksh 29.3 million (USD 225,968.64).
The arrest, announced on Friday, August 15, 2025, marks a critical step in combating the rising tide of financial crimes in East Africa.
The Elaborate Scheme Unraveled
The scam, which dates back to April 3, 2024, began when the unsuspecting investor arrived in Kenya to finalize a deal for the purchase of 3,370 kilograms of gold.
Lured into a seemingly legitimate transaction, the investor was escorted to an office at Gate 53, Chalbi Drive in Lavington, Nairobi, where he signed a Sales and Purchase Agreement.
To bolster the illusion of authenticity, the scammers staged a smelting process at the seller’s agent’s office, a tactic increasingly documented in gold fraud cases across the region.
The plot thickened on April 25, 2024, when the investor was introduced to Toureg Insurance Brokers Limited, a registered Kenyan brokerage overseen by the Insurance Regulatory Authority (IRA).
David Onyango Ochanda, identified as the director of the company and the signatory to the account that received the funds, presented the firm as the entity responsible for insuring the gold during transit.
An addendum to the original agreement was signed, inflating the invoice to USD 226,012.76, of which USD 225,968.64 was wired by the investor on April 29, 2024. The gold, however, never materialized.
Coordinated Sting Operation
Today’s arrest followed a meticulously planned operation by DCI detectives, who had long had Ochanda on their radar.
The suspect is currently in custody and undergoing processing, with arraignment scheduled for Monday, August 18, 2025.