Diamond Trust Bank (DTB) Kenya, associated with His Highness the Aga Khan, has faced intense scrutiny over allegations of money laundering. Notably, the Central Bank of Kenya fined DTB Sh162 million for its role as a conduit for suspects in the multibillion-shilling National Youth Service (NYS) fraud.
According to sources, DTB’s CEO, Nasim Devji, was arrested and questioned by the Anti-Terrorism Police Unit (ATPU) but was never charged. Investigations revealed that Devji was aware of 13 withdrawals of Sh400,000 each, plus an additional Sh100,000, made by Hassan Nur, a suspected terrorist, on January 4, 2019. Insiders at the bank alleged that Devji’s potential prosecution was halted following high-level intervention, reportedly involving a phone call from His Highness the Aga Khan, leader of the Ismaili community, to then-President Uhuru Kenyatta. It is worth noting that a house adjacent to State House, previously owned by Uhuru Kenyatta, was donated by the Aga Khan to Kenya’s first president, Jomo Kenyatta, Uhuru’s father.
In a paid advertisement published in a local daily, DTB’s company secretary, Stephen Kodumbe, stated: “DTB has noted the charges filed on February 20, 2019, against Sophia Njoki Mbogo, the branch manager at our Eastleigh branch. We continue to cooperate with law enforcement and stand with our fellow Kenyans during this challenging time.”
Devji allegedly instructed Sophia Njoki Mbogo, the Eastleigh branch manager, to authorize withdrawals totaling Sh34.7 million, believed to have facilitated the Dusit D2 terrorist attack in Riverside on January 14, 2019. Mbogo was charged with three counts: failure to report suspicious proceeds of crime, aiding and abetting terrorism, and failure to report money laundering. She pleaded not guilty before Milimani Law Court Chief Magistrate Francis Andayi and was released on bail.
Further allegations suggest that senior DTB officials may be colluding with corrupt government officials in money laundering schemes. Mbogo’s court appearance coincided with a lawsuit filed by a client who lost Sh150 million from fixed deposit accounts at a DTB branch in Nairobi, exposing alleged underhanded dealings at the bank.
Sun Pil Lim, a South Korean investor and chairperson of Daehan Pharmaceutical Limited, sued DTB after failing to obtain clear explanations about her accounts. She filed two lawsuits in the Commercial and Admiralty Division of the High Court to recover her funds. Court documents reveal that Lim, along with three Daehan Pharmaceutical directors—Jolly Jeminah Lanji Ouko, Lee Jong, and Jang Jongmin—opened a fixed deposit account at DTB’s Thika Road Mall branch on May 19, 2015. The company deposited Sh100 million into the account on October 24, 2015, with two directors appointed as signatories.
Lim, the wife of Safari Park Hotel president Young Roh, also opened a personal fixed deposit account, depositing Sh50 million. DTB issued certificates of deposit on October 28 and November 5, 2015. In December 2017, the Daehan Pharmaceutical board sought details about the fixed deposit accounts but received evasive responses from the branch manager. Lim then obtained a court order compelling DTB to provide account information, revealing that funds had been withdrawn without her approval as a signatory.
Documents show that between March 10, 2016, and December 4, 2017, Sh100 million was withdrawn from the company account through 157 cheques across 146 transactions. Lim alleged that one director, Lee Jong, forged her signature and colluded with the branch manager to liquidate the account and share the proceeds. “Mr. Lee informed us that he shared the money with the manager to facilitate the liquidation and withdrawal,” the court filing stated. The bank allegedly relied on an undated letter dated July 12, 2016, to liquidate Sh30 million, with Lim’s signature forged. Similar letters, presented on July 12 and October 26, 2016, facilitated the liquidation of the remaining Sh70 million.
A similar scheme allegedly depleted Lim’s personal fixed deposit account, the subject of a second civil suit (Case No. EO 68 of 2018). Although Lim was the sole signatory to the Sh50 million account, Lee allegedly forged her signature and requested the liquidation, transferring the funds to another account. Lim sought a court order for DTB to pay Sh169,944,520, including interest earned since October 24, 2016, plus costs for both lawsuits and any further relief deemed appropriate.
Reports also suggest that intense lobbying by DTB directors prevented the ATPU from charging Devji with aiding terrorism by failing to report suspicious transactions. While junior employees faced detention, pressure from senior officials allegedly stalled further action. The ATPU, tasked with handling terrorism-related cases within the National Police Service, had detained Devji briefly before releasing her, reportedly due to influence from top government officials.
Six months earlier, Sungu Nyakomitta, a senior employee at DTB’s Kisii branch, was accused of siphoning Sh25 million from a customer’s fixed account. The Directorate of Criminal Investigations (DCI) reported Nyakomitta’s arrest and arraignment at Milimani Law Courts. “Peter Sungu Nyakomitta, a branch manager with Diamond Trust Bank in Kisii, was arrested for stealing Sh25 million from a customer’s fixed account. The theft was discovered during an internal reconciliation process,” the DCI posted on X.
A thorough audit of DTB’s operations could reveal significant irregularities. Customers are advised to regularly monitor their fixed account balances to avoid unexpected losses. Significant savings may be at risk without diligent oversight.
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