News and Analysis
October 29, 2026
Hello and welcome to the Money News Roundup. Today, we explore how Kenyans allegedly used stolen US identities to secure government student loans. We also examine why UFAA faces a Ksh400 billion bill to transfer abandoned shares worth Ksh95 billion.
The US government has seized cryptocurrency worth more than Ksh97 million linked to a Kenyan suspected of involvement in a student loan fraud scheme targeting American citizens.
As announced by the US Department of Justice, the seizure followed investigations under Operation Ghostbusters, which uncovered how Kenyans allegedly used stolen US identities to register fake students in American colleges and universities, obtain student aid and divert refunds.
According to the US Department of Justice, Kenyan networks worked with money mules in America who received fraudulent payments through bank accounts before transferring the proceeds to Kenya.
Kenyan law enforcement agencies, including the DCI and Asset Recovery Agency, helped investigators trace and seize the cryptocurrency.
The operation also involved five defendants charged in the US, including Kenyan nationals. One Kenyan suspect allegedly helped steal American identities, enrol fake students and redirect government financial aid, retaining 30% of the proceeds before sending the remainder to accomplices in Kenya.
The US estimates that similar ghost-student fraud schemes have caused losses exceeding Ksh4.1 billion ($32 million), with the wider investigation uncovering suspected fraud exceeding Ksh25.8 billion ($200 million).
"This is the first international seizure of its kind in Kenya. If you steal American identities, if you steal taxpayer dollars, if you exploit programs meant to help students build a future and we will find you. Whether you are in Nebraska, New Jersey, Virginia, or Nairobi, we will pursue you,” Assistant Attorney General Colin McDonald announced.
The Unclaimed Financial Assets Authority (UFAA) says it would cost Ksh400 billion to transfer 2.03 billion abandoned shares worth Ksh95 billion into its custody, forcing it to suspend the plan.
As reported by the Business Daily, the authority faces a Ksh200 charge per share unit by the Central Depository and Settlement Corporation (CDSC), making the transfer financially impractical.
UFAA CEO Laban Molonko told Parliament that the agency had considered transferring 400,000 shares initially, which would cost approximately Ksh80 million.
The authority wants to consolidate the shares under a non-trading Custodial Depository Agent account to improve tracking, earn dividends and reunite assets with their rightful owners.
The shares are classified as unclaimed when owners fail to participate in corporate actions, collect dividends or respond to issuers for at least three years.
UFAA is engaging the NSE and the Kenya Association of Stockbrokers and Investment Banks to negotiate lower transfer fees.
The High Court has declared that President William Ruto’s directives reserving 20% of affordable housing units for teachers and another 20% for police officers have no legal basis.
As reported by the Star, Justice Patricia Nyaudi Mande ruled that the President cannot introduce preferential allocation criteria outside the Affordable Housing Act and its regulations.
The judge said executive powers allow the President to coordinate government functions but do not permit him to alter laws enacted by Parliament.
The court rejected arguments that the petition was premature, finding that the proposed quotas raised legitimate constitutional concerns regarding equality, transparency and accountability.
The Labour Relations Court has overturned interim orders directing the TSC to deduct agency fees from junior secondary school teachers for KUPPET.
As reported by Nation, Justice Monica Mbaru ruled that KUPPET could not pursue the deductions through a case withdrawn by KNUT in October 2025. The judge vacated orders issued on September 17, 2026, and rejected KUPPET’s request to summon TSC CEO Evaleen Mitei for alleged contempt.
The dispute involves approximately 9,830 teachers deployed from primary to junior secondary schools, with unions contesting representation and agency fee entitlements.
The court directed that the dispute be pursued through fresh proceedings.
A magistrate’s court has ordered Lawrence Patine to pay Ksh1.12 million to repair safety barriers and signage damaged in a crash on the Nairobi Expressway.
The Business Daily reported that the accident occurred near Imaara Mall on April 9, 2025, when his Mitsubishi Outlander veered off the road and struck the infrastructure.
Patine blamed heavy rainfall, flooding, poor drainage and inadequate warning signs, arguing that Moja Expressway Limited was responsible.
However, the court ruled that he failed to maintain control of his vehicle and presented insufficient evidence linking the crash to negligence by the expressway operator. His counterclaim was dismissed.
Tanzania has signed four petroleum exploration licences for state-owned Tanzania Petroleum Development Corporation (TPDC), following a natural gas discovery estimated at 223 billion cubic feet in the Mtwara Region.
As reported by Citizen Digital, the licences cover Eyasi-Wembere, Lindi-Mtwara, West Songo Songo and Mnazi Bay North.
The Kasa-1X ST2 discovery, announced on October 27, was made by TPDC alongside French energy firm Maurel & Prom, which reported a preliminary estimate of 200 billion cubic feet pending further evaluation.
Energy Minister Juma Zuberi Homera said the agreements would boost domestic energy security, expand local participation in petroleum exploration and support electricity generation, industrial development and employment.
Bolt has introduced three ride categories in Kenya, giving customers more flexibility to balance fares, waiting times and convenience.
As reported by the Kenyan Wall Street, the new options are Priority, Wait and Save, and Ride by Hour.
Priority allows customers to pay extra for faster driver matching, while Wait and Save offers lower fares to riders willing to wait longer.
Ride by Hour enables customers to book a car for one or two hours at a fixed hourly rate, making it suitable for errands, shopping and trips involving multiple stops.
Meanwhile, as reported by the Business Daily, the High Court has ordered Bolt to reinstate Toyota Sienta vehicles in its XL category, ruling that their removal violated drivers’ rights to fair administrative action. Justice Roselyne Aburili found the company acted without hearings or written explanations. The court barred similar removals but declined to award drivers Ksh1 million each in compensation.
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