A string of 1,678 suspicious M-Pesa deposits worth Kshs. 18.3 million over four years have landed a 38 year old suspected drug trafficker in the crosshairs of Kenya’s anti-money laundering law, the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA).
- •The High Court has ordered the forfeiture of Hesborn Wafula Odaye’s two vehicles, ruling that they were either bought with narcotics money or used to ferry 268 kilograms of cannabis valued at Kshs. 8 million.
- •Odaye was arrested in one of the cars, a Toyota Voxy, in March 2024 after police intercepted him along the Namboboto–Funyula road, discovering six sacks of cannabis in the boot.
- •While the forfeiture case focused on his vehicles, Odaye is still facing criminal charges for drug trafficking.
Investigators from the Assets Recovery Agency (ARA) traced suspicious transactions to Odaye, who presented himself as a timber trader. His M-Pesa account showed a relentless pattern, small deposits ranging from Kshs. 10,000 to Kshs. 500,000 over four years, followed by quick withdrawals and transfers designed to avoid Central Bank reporting thresholds.
His Co-operative Bank account mirrored the same strategy. On January 31, 2020, it also received a deposit of Kshs. 500,000 from Kevin Owino, who was later convicted for drug trafficking, sentenced to 20 years in prison and fined KSh 20 million. Investigators argued the transaction pointed to a deeper criminal network, with Odaye as an active link.
Timber or Trafficking
When questioned, Odaye insisted he was a timber dealer. But investigators found he had never filed tax returns, had no business records, and could not explain the millions flowing through his M-PESA and bank accounts. Under POCAMLA, even if part of the money were legitimate, once it mingled with illicit funds it became “proceeds of crime.”
Passed in 2009, POCAMLA gives Kenyan authorities sweeping powers to trace, freeze, and recover assets linked to crime. Crucially, forfeiture proceedings are civil in nature, meaning the state only has to prove on a “balance of probabilities” that property is tainted, a far lower threshold than the “beyond reasonable doubt” required in criminal trials.
“This case shows how POCAMLA works in practice: you follow the money, not just the drugs,” an anti-financial crimes lawyer told The Kenyan Wall Street.
For Odaye, that means losing his two cars, a Toyota Voxy and Toyota Corolla, even before the determination of the criminal case.
Justice L.M. Njuguna agreed, noting in the ruling that “unless courts grant such orders, the economic advantage derived from crimes will continue to benefit a few to the detriment of the public.”
In a separate case in July, the ARA won a forfeiture case involving proceeds from the trafficking of sandalwood. While the suspected trafficker, Morris Maina, was acquitted in the criminal case due to the higher threshold, the ARA won the civil suit seeking his two vehicles.
Another previous case in early 2024, this time involving the attempted trafficking of 596 grams of cocaine valued at KSh 2, 384, 000 by Vincent Amufa, also involved the forfeiture of cars and money totalling KSh 558, 453.
Kenya has long struggled against the narcotics and other illicit trade, with traffickers shifting routes and laundering methods to stay ahead. The ongoing forfeiture push cases underscores a turning point: rather than only chasing consignments of cannabis or heroin, authorities are increasingly targeting the profits that fuel the trade.