A Nairobi lawyer is facing serious criminal charges after prosecutors accused him of defrauding two investors of more than Sh37 million in an alleged fake gold deal, adding to the growing list of high-value gold fraud cases that have reached Kenyan courts.
Lawyer Alphonce Collins Odoyo Osewe appeared before the court and denied several charges linked to the alleged scam. Prosecutors claim he falsely convinced two investors that he was in a position to sell them 400 kilograms of gold bars, leading them to part with millions of shillings.
According to the charge sheet, Osewe is accused of obtaining USD 260,400, which is approximately Sh37 million, from Bernard Shiaundu Aete. The prosecution alleges that the money was obtained after Osewe claimed he could supply 400 kilograms of gold, yet he allegedly knew that representation was false. Investigators say the alleged offence took place on different dates between May 1 and May 9, 2023, in Nairobi.
In a separate count, Osewe is accused of obtaining Sh26.1 million from Adeyeye Enitan Ogunwusi after allegedly making a similar promise to sell 400 kilograms of gold bars. The prosecution says the alleged offence occurred between May 4 and May 5, 2023, also in Nairobi.
Apart from the fraud charges, the lawyer is also facing charges related to the acquisition and use of proceeds of crime under Kenya’s anti-money laundering laws. He denied all the charges when he appeared before Chief Magistrate Gethi Kibiru.
The case also involves Patroba Odhiambo Tobias, who had already pleaded not guilty to the charges in October 2025.
During the court proceedings, the prosecution strongly opposed Osewe’s release on bond, arguing that his past conduct showed he was likely to flee and fail to attend future court sessions.
Investigating officer Corporal Dennis Mugambi told the court that Osewe had previously been arrested and released on police cash bail on August 14, 2025, while investigators awaited legal advice from the Office of the Director of Public Prosecutions before filing charges.
According to the prosecution, after the charges were approved, Osewe was informed of the date when he was expected to appear in court and take his plea. However, prosecutors claim he failed to attend despite being fully aware of the proceedings.
The investigating officer further stated that he personally contacted and summoned Osewe several times, but the lawyer allegedly ignored the requests without providing any lawful explanation. His continued absence eventually led the court to issue warrants for his arrest.
The court heard that Osewe allegedly remained out of reach for nearly a year before officers from the Directorate of Criminal Investigations, Nairobi Region, arrested him on August 4, 2026, while executing the outstanding warrants.
The prosecution argued that accepting police cash bail and then allegedly failing to appear in court for such a long period demonstrated an intention to avoid the judicial process. Prosecutors therefore urged the court not to grant him bond.
Corporal Mugambi also told the court that Osewe had claimed he was outside the country during the period he was expected in court. Investigators said they were waiting for travel records from the Directorate of Immigration Services to confirm whether that explanation was accurate.
The court further heard that police officers visited the residence where Osewe had been living but were informed that he had already moved to an unknown location, making it difficult for investigators to trace him. The prosecution said his current permanent place of residence could not be confirmed.
In addition, the investigating officer informed the court of an alleged confrontation in which Osewe reportedly insulted him during the investigation.
Osewe’s defence team opposed the prosecution’s application to deny him bond, arguing that he is an advocate of the High Court and an officer of the court, making him unlikely to abscond.
The court is expected to deliver its ruling on his bail application on August 6, 2026. Until then, Osewe will remain in custody at Kilimani Police Station as the criminal case continues.