How Billionaire BidCo Owner Lost Over Kshs100M To Forex Scam By Close Friend
Kenyan billionaire Vimal Shah has opened up about losing Ksh102.4 million in a failed foreign exchange deal after seeking dollars to pay for imported raw materials.
While testifying in court on Monday, September 15, Shah said the money was transferred from his company’s account after an agreement was reached to facilitate access to foreign currency in 2023.
The court heard that Ksh102,437,500 was transferred to another company instead of directly to the individual who had arranged the deal.
Bank records presented in court showed that the recipient company received the full Ksh102,437,500 from Shah’s company on the same day.
The records further indicated that Ksh96.4 million was subsequently transferred to another company, representing almost 99 per cent of the money received.
He confirmed that no funds from the transaction were sent directly to the individual accused in the case, whose role in the arrangement was questioned.
He also acknowledged that the individual was neither a director nor a shareholder of the company that later received the bulk of the funds.
According to Shah, he could not confirm whether the accused personally benefited from the money because the available documents did not establish that connection.
The court was also told that Shah’s company had not presented a formal board resolution authorising the institution of the proceedings, although the board was aware.
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Shah further confirmed that the ongoing arbitration arising from the transaction involved his company and the recipient institution, rather than the accused personally.
The proceedings centred on a charge of conspiracy to defraud, although Shah acknowledged that there was no document showing communication between the accused persons about defrauding him.
He further maintained that the transaction was based on the agreement and said the funds were transferred to facilitate the foreign exchange arrangement, leaving the court to determine liability.
This incident unfolded as the Capital Market Authority (CMA) on September 11, 2026, issued an official warning flagging 15 unlawful investment entities operating in the country without the required licensing or regulatory approvals.
It also comes at a time when Kenyan online forex traders recorded gross losses of Ksh7.12 billion in 2025, per the CMA 2026 report, with active trading accounts also dropping sharply, falling 46.2 per cent year-over-year to 152,110.
How Billionaire BidCo Owner Lost Over Kshs100M To Forex Scam By Close Friend
