The long hand of the law has eventually caught up with a senior official at the National Treasury who was scheduled to take plea on August 19, 2026, over improperly paying self over KES 799.844 million in the KES 1.57 billion National Treasury rip off.
He was charged over the heist on Tuesday at the Anti-Corruption Court.
Mr Billy Otieno Obango alias Billy Obango was charged before a principal magistrate Rose Ndombi.
Obango was brought to court on a warrant of arrest having skipped court for close to a month.
He however explained to the court he had health challenges then pardoned and the warrant of arrest lifted.
Obango denied that between June 1, 2019, and June 30, 2022, being the Project Accountant-Programme for Rural Outreach of Financial Innovation and Technology (PROFIT), abused his office by improperly conferring to himself a benefit of KES 799,844,648 by unlawfully authorising payments through cheques from Cooperative Bank Account 01141419559400 held in the name of PROFIT.
According to the charge sheet filed in court, Obango falsified a document to wit a memo Ref: DFN 126/013/22 to Branch Manager Kenya Commercial Bank, Eldoret Branch purporting it to be a genuine memo authored by Director Economic Affairs at the National Treasury and Planning Economic Affairs Department.
The magistrate heard Obango and Gladys Juliet Oroni alias Gladys Juliet Chepkarat being signatories of a KCB account number 1304251217 jointly acquired KES 173,300,640 from the National Treasury Account number 1000181664 domiciled at the Central Bank of Kenya (CBK) while knowing that said money formed part of proceeds of crime.
Between October 18, 2023, and December 13, 2023, he allegedly withdrew KES 897,000 from KCB knowing the money was acquired from the commission of a crime.
Obango and Gladys are also alleged to have transacted KES 9,985,421, KES 14,668,116.95, KES 14,381,281 from KCB when they were the sole proprietors of Mawindo Enterprises Limited, Brigs Agencies and Greenbail Agencies while knowing said monies were proceeds of crime.
The said sums were utilized between October 18, 2022, to December 14, 2023.
On October 18, 2022, and December 14, 2023, both Obango and Gladys being signatories to a KCB account number 1304251217 jointly transferred KES 23,398,992 to NCBA and Cooperative Bank respectively with an aim of concealing the nature of the said money.
Also Obango and Gladys, the magistrate heard they laundered KES 7,756,009 by transferring it from KCB to NCBA.
Obango who was charged alongside Paul Mukasiali Shilaho in the KES 1.57 billion financial impropriety case involving National Treasury staff and business proprietors pleaded for reasonable bond terms in the case with 122 charges.
Obango and Shilalo skipped court on August 19, 2026, when the first batch of suspects were charged and 17 others who jumped court were ordered to be arrested.
Project accountant Billy Otieno Obango, the second defendant named on the charge sheet who faces 45 separate counts was realesed on a bond of KES 15,000,000 or cash bail of a corresponding amount (KES 15 million). Obango’s lawyer applied for his release on bond due to medical issues which had prevented his earlier court attendance.
The court heard he is not a flight risk, serves as his household's sole provider, and cares for his aging mother.
His defense lawyer affirmed that Obango remains committed to appearing for all required sessions.
State prosecutors did not oppose the application, requesting only that the court retain Obango's passport.
Shilaho, who denied charges of unlawful acquisition of proceeds of crime KES 9,757,742 from KCB through his company Kemula Agencies, was granted a KES 1,500,000 bond or an alternative cash bail of KES 1,000,000.
Defense counsel for Shihalo cited Shilaho's medical conditions coupled with constrained economic background as reasons for a reasonable bail term.
The court heard Shilaho is a low-income earner lacking formal employment.
The DPP did not oppose his release on bond but urged court to compel him deposit his passport.
However, the court heard Shilaho does not hold a passport.
Ms Ndombi noted in her ruling that she considered all the submissions presented by the state and defense, the variance of the nature of charges faced by each defendant.
She freed Shihalo on bond then directed the case be mentioned on November 3, 2026, for pre-trial directions alongside other co-accused who had previously pleaded on the 121 counts and released on bond.
In the alleged KES 1.57 billion rip off, the monies was released by International Fund for Agricultural Development (IFAD) and the Government to boost incomes for persons engaged in income projects and agricultural activities at the grassroots.
State prosecutor Alex Akula stated on August 19, 2026, senior National Treasury employees engaged in a complex web of fraud which led to the loss of KES 1.57 billion funds from the World Bank chanelled through Treasury to alleviate poverty and support small scale farmers.
The lost monies, the magistrate heard, were released by the National Treasury through the Programme for Rural Outreach of Financial Innovations and Technologies (PROFIT).
The programme was aimed at enhancing incomes of the rural folk and reduce poverty at the grassroot level.
Those arraigned earlier were Programme Coordinator at the National Treasury- John Ngure Kabutha, Nemwel Moturi Motanya, John Maina Muriithi, Gladys Juliet Oroni alias Gladys Juliet Chepkarat also trading as Mawindo Enterprises, Brian Kiprop Chepkarat and Ian Kwemoi Chepkarat.
Others charged included James Omwondo, Jimmy Carter Odoyo Odongo and Josphat Kamau Kamoshe.
They all denied 121 charges of abuse of office, unlawful acquisition of public funds, money laundering and acquisition of proceeds of crime.
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