By Edwin Katana
A man believed to be behind a Sh11.4 million heist from a leading microfinance institution in the country has been arraigned.
Seth Mwabe Okwanyo, 26, is said to have orchestrated 38 fraudulent transactions on July 16 last year from the banking institution leading to the loss of Sh11, 410, 165.
The transactions circumvented the company’s internal visibility and control measures, raising serious concerns about security breaches.
Detectives from the Banking Fraud Investigation Unit (BFIU) launched investigations, uncovering that the 38 transactions were absent from the microfinance institution records yet were flagged as successful to the recipients.
This discrepancy indicated that the hackers had deliberately erased both system and database logs to cover their tracks.
Further investigation revealed the unauthorised installation of a Java application in the system.
Through the malicious app, the suspect was able to manipulate the system to not only steal the funds but also launder them through various accomplices.
The suspect was charged with multiple charges, including Unauthorized access to a computer system, computer fraud, and money laundering among others.
He pleaded not guilty to all the 20 counts and was released on a Sh1,500,000 bond or Sh500,000 cash bail.
The case will be mentioned on March 3, 2026, as investigations to unravel this intricate web of cybercrime, continue.
Preliminary investigations indicate that Mwanye is a Meru University dropout and a renown cyber security expert.
