Companies ask DCI to probe alleged fraud, collusion in Absa property auctions

Two companies have asked the Directorate of Criminal Investigations (DCI) to investigate alleged fraud, collusion and unlawful disposal of their properties by Absa Bank Kenya Limited.

Kimani Operations Limited and Kimani Ventures Limited, through their lawyers led by Danstan Omari, have accused the bank and several other parties of engaging in suspicious transactions involving properties used as security for loans advanced between 2021 and 2022.

In a complaint filed with the DCI, the companies want investigators to establish whether the disputed auctions were genuine and whether there was collusion between the bank, auctioneers and companies that emerged as purported purchasers of the properties.

According to the complaint, Kimani Operations obtained a Sh195 million facility from the bank in February 2021, secured by two properties known as Twin Towers.

Kimani Ventures, on the other hand, obtained a Sh130 million facility secured by a property in Section II, Eastleigh.

The lawyers said additional facilities and charges subsequently increased the value of transactions involving the two companies to hundreds of millions of shillings.

However, they accuse Absa of failing to provide a comprehensive account of the loan transactions, including details of disbursements, payments received, interest calculations, charges and the current status of the accounts.

The advocates have also questioned an alleged auction advertised for July 7, 2025.

They claim no lawful auction took place on that date, citing the Saba Saba demonstrations, which they say severely restricted access to Nairobi, with roads barricaded and movement restricted by security agencies.

The lawyers want the DCI to establish whether bidders were present, whether competitive bidding took place and whether the alleged auction was instead a pre-arranged disposal presented as a public auction.

The complaint has also raised questions about two companies that allegedly acquired some of the properties.

Astralis Verge Limited was incorporated on May 15, 2025, while Samatar Solutions Limited was incorporated on June 2, 2025, shortly before the disputed auction.

The lawyers want investigators to establish the ownership and beneficial ownership of the companies, their source of funds, bank transactions and communications relating to the alleged purchases.
They further allege that Astralis Verge subsequently underwent changes in its directorship.

The complaint also names auctioneer Serah Njeri Wamwea, whom the lawyers allege participated in the auction process and was among the purported successful bidders.

According to the advocates, Wamwea's business premises are located in the same building where the auction was scheduled to take place, raising what they describe as a potential conflict of interest.

The lawyers further claim that their clients have not been provided with documents showing who attended the auction, the bidding register, reserve price, highest bid, memorandum of sale, proof of payment or evidence of how the proceeds were applied to the outstanding loans.

They have also questioned the valuation of the properties, alleging that the securities were deliberately undervalued to facilitate their disposal at prices below their true market value.

The complaint also refers to another purported auction held on July 30, 2025, involving L.R. No. 36/11/350 in Eastleigh.

The lawyers want investigators to establish why a second auction was conducted after the earlier alleged sale.
Despite the purported disposal of several securities, the advocates claim Absa continues to demand approximately Sh394.8 million from their clients.

They further allege that after the bank took possession of some of the properties, it began collecting rent and deriving income from them.

The companies have now asked the DCI and the Banking Fraud Investigation Unit to investigate Absa Bank and its officers, the auctioneers, Samatar Solutions Limited, Astralis Verge Limited and Fancy Friends Auctioneers.

The investigations, they say, should establish whether offences including conspiracy to defraud, fraudulent misrepresentation, unlawful acquisition and disposal of property, collusion and abuse of the statutory power of sale were committed.

The complaint comes amid an ongoing dispute over the properties, with the lawyers saying their clients have challenged the alleged sales in court.

They have urged investigators to act expeditiously, arguing that the properties are long-standing investments and important sources of livelihood for the companies' directors and their families.

About the Author

Rhoda Bogeta is a Kenyan journalist and multimedia storyteller covering current affairs, human-interest, science and environmental stories, with expertise in reporting, photography, videography and digital content creation. Email: rhodabogeta@gmail.com Instagram : i_am_bogetar X : @I_am_Bogetar LinkedIn: Rhoda Bogeta Tiktok : monique.mora_