Man nabbed for allegedly defrauding Pakistani national Sh4.5 million in fake gold scam

Bars of fake gold confiscated from a suspect at Ngong View Estate in Langata, Nairobi/HANDOUT

Detectives have arrested a man in Lang’ata, Nairobi, in connection with a fake gold deal that defrauded a Pakistani national of Sh4.5 million.

The suspect was apprehended in a coordinated operation by officers from the Directorate of Criminal Investigations (DCI) and the Kenya Police Service, following a complaint filed by the foreign victim at Karen Police Station.

According to a statement by the DCI, the suspect allegedly presented the complainant with 500 grams of counterfeit gold and received payment in cash.

Subsequent testing of the sample revealed it was fake, prompting the swift launch of an investigation.

“Investigations have revealed that the suspect presented the complainant with 500 grams of counterfeit gold and received the payment in cash,” said the DCI in a statement posted on X.

During a search at the suspect’s premises, police recovered a range of items believed to be used in the fraudulent operation.

These included: 10 bars of suspected fake gold, business cards. a MacBook Pro laptop, smelting machines and related apparatus, a mining certificate, a weighing machine, two plastic boxes containing sand, and several assorted files and documents.

The suspect is currently in custody and will be arraigned in court as investigations continue.

Kenya is increasingly attracting global interest for its gold reserves, particularly in mineral-rich counties like Kakamega, Migori, and Turkana.

However, the surge in international interest has been met with a parallel rise in gold-related fraud, often orchestrated in Nairobi—now infamously dubbed “the city of gold scammers.”

These scams are often highly sophisticated, involving fake offices, counterfeit gold samples, and phony mining credentials. Fraudsters, both local and international, target unsuspecting investors—especially foreign nationals—by posing as licensed dealers.

Scammers typically use bait-and-switch tactics, where genuine gold is shown during initial meetings, only to be replaced with fake metal during the transaction.

In other cases, buyers are told their gold has been seized by customs, with scammers demanding large sums to "facilitate release."