An American business owner recently reported a high-stakes fraud scheme to Kenyan authorities, leading to the arrest of Michael Otieno Owano, a lawyer allegedly linked to a fake tender scam valued at over Kes 182 million.
Detectives from the Operations Support Unit arrested Owano at Nairobi’s Milimani Law Courts after he attended a hearing for another criminal case (CR 145/13/2024) in which he is also an accused party.
Owano, the purported head of Owano Michael & Co. Advocates, is suspected of playing a central role in a scheme that deceived the American businessman into paying for fictitious government contracts.
The scam, which dates back to 2022, reportedly began when Alvin Alexander, claiming to be the CEO of Orion AST Company, convinced the American businessman, who owns Underground Pipeline Rehabilitation Company, to travel to Nairobi.
Alexander promised the businessman access to Kenyan government officials and lucrative tenders. Upon arrival, the complainant attended several meetings and received three fake tender documents, promising contracts for large-scale projects: a control center system for the Kenya Civil Aviation Authority, an information management system for the ICT Authority, and automatic weather stations for the Ministry of Environment, Water, and Natural Resources.
To secure these contracts, the complainant was instructed to make payments covering bid bonds, legal fees, and work permits, totaling USD 1,617,200 (equivalent to Kes 182,743,600). Four law firms, including Owano Michael & Co. Advocates, processed these payments through escrow accounts. These included $90,000 to Owano Michael & Co. Advocates for legal services, with additional amounts paid to other firms, such as Ollando Misare & Associates, LLP, and Ouko Angado Co. Advocates.
Following these payments, the complainant endured months of delays, ignored calls, and canceled meetings. Suspecting fraud, he reported the incident to the Directorate of Criminal Investigations (DCI), which launched a swift investigation.
Detectives subsequently apprehended Owano and now seek charge approval from the Office of the Director of Public Prosecutions (ODPP) ahead of his next court date. Authorities continue to pursue Owano’s accomplices, determined to dismantle the entire fraud network.
