A Kenyan law firm has been implicated in a massive international fraud orchestrated by notorious Nigerian scammer Ramon Olorunwa Abbas, also known as “Ray Hushpuppi.”
According to court documents, the law firm, Okatch & Partners Advocates, was used as a conduit in a multimillion-dollar scam that defrauded a Qatari businessman of over $1.1 million (approximately Sh1.1 billion).
The scam revolved around a fraudulent scheme to finance the construction of a school in Qatar, facilitated by a network of fraudsters operating across Africa and the U.S.
The grand jury indictment, unsealed in the United States, charged three U.S.-based individuals and three suspects believed to be in Africa, including Kenyan national Abdulrahman Imraan Juma, Nigerian Kelly Chibuzo Vincent, and the now-infamous Hushpuppi.
The group is accused of conspiracy to commit wire fraud, conspiracy to engage in money laundering, and aggravated identity theft.
According to the indictment, Hushpuppi and his co-conspirators posed as consultants and bankers who could assist the Qatari businessman in securing a loan to fund the construction of a school for children in Qatar.
Juma, a Kenyan national, acted as the main facilitator, while Hushpuppi, under the alias “Malik,” impersonated a Wells Fargo banker based in New York.
Vincent, another Nigerian accomplice, provided logistical support by creating false documents, a fake banking website, and a fraudulent phone banking line to further deceive the victim.
The scam led the Qatari businessman to believe he was working with legitimate consultants.
As part of the scheme, Juma used Westload Financial Solutions Limited, a company he controlled, to convince the victim to transfer funds.
Court documents revealed that Okatch & Partners Advocates, a Kenyan law firm, was engaged by Juma to receive the fraudulent payments.
In December 2019, the Qatari businessman signed a contract with Westload, agreeing to pay a “consultancy fee” of $225,000, which was to be remitted to Okatch & Partners in two installments.
The first installment amounted to $157,500, and subsequent payments totaling nearly $300,000 were made between February 5 and 10, 2020, directly into the law firm’s bank account.
Court documents suggest that the law firm was fully complicit in the scheme, facilitating the transfer of funds and laundering the proceeds of the crime.
This raises serious concerns about the role of Kenyan law firms in facilitating international money laundering and fraud.
Duncan Okatch, a senior partner at the firm, has been involved in several high-profile legal cases in Kenya, including representing controversial figures such as Babu Owino in the DJ Evolve shooting saga.
Okatch has also been embroiled in personal scandals, including allegations of assault by Silas Jakakimba, former aide to Raila Odinga.
Jakakimba accused Okatch of physical assault during a child custody case involving his ex-wife, further tarnishing the lawyer’s reputation.
The involvement of Okatch & Partners in such fraudulent activities is not an isolated incident.
In previous cases, other law firms have been accused of conspiring with criminals to launder illicit proceeds.
For example, Tom Okundi of Okundi & Company Advocates faced accusations of laundering funds for gold scammers, leading to the freezing of his bank accounts after it was determined that he aided notorious gold fraudster Jared Otieno.
The complicity of rogue law firms in fraud and money laundering schemes is a growing concern in Kenya.
These firms exploit their positions of trust to help criminals move large sums of money, erasing their tracks and laundering illicit proceeds under the guise of legitimate legal services.
This trend poses a significant risk to the reputation of Kenya’s legal profession and endangers the trust that clients place in law firms to safeguard their interests.
For clients, the risk of associating with compromised law firms is immense.
Not only do such firms endanger the money held in trust for legitimate transactions, but they also put their entire client base at risk by exposing them to potential legal and financial liabilities.
The unearthing of Okatch & Partners Advocates’ role in the multimillion-dollar Hushpuppi fraud case shines a spotlight on the darker side of Kenya’s legal sector.
With the firm facing allegations of laundering proceeds from an international fraud, the incident serves as a warning to other law firms about the perils of engaging in corrupt activities.
The need for stricter oversight and regulation of law firms involved in high-stakes financial transactions has become more apparent than ever.
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