Woman loses millions to State after failing to declare source

Assets Recovery Agency obtained orders to freeze three accounts belonging to Ms Pamela Aboo. PHOTO | FILE | NMG

What you need to know:

  • Judge says woman failed to explain source of cash leading to the conclusion it was not legally acquired.

  • Cereals seller fails to explain why no cash had been withdrawn from accounts.
  • Her husband, Alex Mukhwana Khisa, is an employee of the Kenya Revenue Authority.

A businesswoman who could not explain the source of Sh19.6 million in her three bank accounts on Wednesday lost her battle to recover the cash after a judge ordered that it be handed over to the State.

Assets Recovery Agency (ARA) had obtained orders to freeze three accounts belonging to Ms Pamela Aboo, who said she was a businesswoman dealing in cereals. Her husband Alex Mukhwana Khisa is an employee of the Kenya Revenue Authority.

DOCUMENTS

Investigators said that the businesswoman did not know the amount of money in her accounts and that she failed to produce any business licences or compliance documents to support her claims of owning any legal business or trade.

Police suspected the accounts were being used as a conduit for depositing and transferring proceeds of crime.

MALICIOUSLY

Ms Aboo defended herself, saying the fact that Mr Khisa is her husband is no proof that the funds were deposited on his behalf. She accused the agency of acting maliciously against her, yet there was no evidence linking her to any corrupt deals.

The deposits were made at Equity Bank, Mombasa and Equity’s agents in Mombasa and Donholm in Nairobi. There had been no withdrawals since the accounts were opened.

AFFIDAVIT

Justice Hedwig Ong’udi agreed with the ARA. She ruled that Ms Aboo did not attempt to explain the source of the money even through an affidavit.

While it could be true that she does business with persons identified as Samson Waweru and Jonathan Kimindu and her own business, “where is the evidence?” the judge posed.

OFFENCE

She said that although there is no law that prohibits one from depositing money and there is also no offence committed if one fails to withdraw their money, he wondered how she was running her business without making any withdrawals.

DEPOSITS

 “One is at liberty to deposit even a billion shillings, but the person must be ready to share the source of such huge deposits with the relevant authorities. When no satisfactory explanation is forthcoming, the court will take it that the same was not lawfully acquired,” the judge said.

The judge added that the huge deposits made in Donholm call for an explanation. The accounts had a total of Sh19,688,152 and were opened between April 20, 2014 and March 2017, while the funds were deposited between 2015-2017.