Inside Nairobi Firm Used To Launder Millions From Minnesota Sh39 Billion Fraud

A nondescript office in Nairobi’s South C neighbourhood hides a dark secret that has sent shockwaves across two continents and put Kenya at the centre of America’s largest Covid-19 fraud investigation.

Capital View Properties Limited, registered on February 24, 2021, became the destination for nearly Sh92 million in stolen American taxpayer money meant to feed hungry children during the pandemic. The firm’s emergence as a key player in the Sh39 billion Minnesota fraud has exposed how international criminals exploited Kenya’s financial system to launder proceeds from one of the most audacious scams in US history.

Court documents reveal that between May and June 2021, just months after its registration, Capital View Properties received three wire transfers totalling Sh91.7 million from Abdiaziz Shafii Farah, the convicted mastermind of the fraud scheme who is now serving 28 years in an American prison.

The transfers came in rapid succession. On May 4, Sh26.4 million arrived. A week later, another Sh38.7 million landed in the company’s accounts. By June 1, a final payment of Sh26.6 million completed the money trail from Minneapolis to Nairobi.

But these transactions were merely the tip of the iceberg. In a chilling WhatsApp conversation intercepted by FBI agents, Abdiaziz boasted to an accomplice that he had invested Sh774 million in Kenya over just three years. The message, sent in December 2021 as American investigators closed in, revealed the staggering scale of money being pumped into Kenyan real estate and businesses.

The Perfect Cover

Capital View Properties appeared legitimate on paper. Corporate records show five shareholders controlling 1,000 ordinary shares. Zeitun Garat Abdinoor holds 150 shares, Abdullahi Maalim Aftin another 150, Abdiwahab Maalim Aftin 100, Abdifatah Maalim Aftin 500, and Abdigani Maalim Aftin 100. The company has no recorded loans or encumbrances, presenting a clean financial profile that masked its sinister purpose.

The firm’s registered address off Shapara Road in South C offers no hints of its connection to international crime. Neighbours and business associates had no idea that the company was processing millions stolen from American children’s feeding programmes during the darkest days of the pandemic.

When contacted, Capital View Properties, a woman identifying herself as Zeitun answered the phone. Her responses were carefully measured, acknowledging the American connection while distancing the company from criminal activity.

“He lives in America and does business with some of the people who have been mentioned,” Zeitun said, referring to one of the directors. “He is one of the directors and he is the one who was sending money.”

She vehemently denied that the company had any knowledge of the fraud, insisting that Abdiwahab Maalim Aftin, one of the directors, had been tried and acquitted by an American jury in June 2024. The acquittal, she argued, proved the company’s innocence.

However, American prosecutors tell a different story. While Abdiwahab may have escaped conviction, the money that flowed through Capital View Properties remains tainted by its origins in the massive Feeding Our Future fraud scheme.

The Minnesota Nightmare

The fraud that funded Capital View Properties was breathtaking in its scope and cynicism. Between 2020 and 2022, a network of predominantly Somali-American fraudsters exploited Covid-19 emergency measures to steal up to Sh38.7 billion meant to feed vulnerable children.

The scheme centred on Feeding Our Future, a Minnesota nonprofit that acted as a sponsor for smaller organisations supposedly running meal programmes for needy kids. When pandemic restrictions loosened oversight requirements, fraudsters saw their opportunity.

They created fake feeding sites, inflated meal counts, and submitted false documentation to claim millions in federal reimbursements. Few, if any, children were actually fed. Instead, the money went towards luxury cars, properties in America and Africa, and lavish lifestyles for the conspirators.

Abdiaziz Farah emerged as the scheme’s leader, personally pocketing over Sh1 billion during his 18 months of involvement. His text messages, recovered by investigators, paint a picture of breathtaking greed and arrogance.

“In 7 months, if things stay the same, you are a multimillionaire with 0 debt,” he texted an accomplice. To another, he wrote simply: “Bro, the next multi-legit millionaires will be me and you.”

True to his word, Abdiaziz went on a spending spree that included five luxury vehicles purchased within six months. Among them was a Sh38.7 million Porsche, a GMC truck, and a Tesla. He bought land in Minnesota and Kentucky, investing approximately Sh541 million in American properties.

But Abdiaziz knew that American law enforcement would eventually come calling. He needed to move money beyond their reach, and Kenya became his sanctuary.

The Kenyan Connection

The full extent of Abdiaziz’s Kenyan investments remains murky, but court documents provide tantalising glimpses. American prosecutors confirm he purchased real estate and a high-rise apartment building in Nairobi using fraud proceeds, investments they admit are now beyond the reach of US law enforcement.

His brother, Ahmednaji Maalim Aftin Sheikh, played a crucial role in moving money to Kenya. The 28-year-old Kenyan national, indicted in September as the 74th defendant in the case, allegedly helped launder and send millions abroad through a series of sham corporate entities and bulk cash smuggling.

Court papers describe how Ahmednaji received funds and helped conceal their origin by investing in Kenyan real estate. In April 2021, he helped Abdiaziz purchase an apartment building in South C, strategically located adjacent to Nairobi National Park. He also facilitated the purchase of land in Mandera Town, near Kenya’s borders with Somalia and Ethiopia.

The brothers’ WhatsApp conversations, now part of court evidence, reveal their criminal partnership. “You are gonna be the richest 25-year-old InshaAllah,” Abdiaziz texted his younger brother in July 2021. Ahmednaji responded: “I love you so much.”

Two months later, Ahmednaji sent his brother a photo of Sh17.8 million in cash. By December, another photo showed banker’s boxes stuffed with Sh34.8 million in cash that Abdiaziz had smuggled to Kenya. The physical movement of currency highlights how the conspirators bypassed international banking safeguards designed to detect money laundering.

From Minneapolis to Diani

Capital View Properties is just one piece of a complex money laundering network that stretches from Minnesota to Kenya’s coast. The fraud’s tentacles reach far beyond Nairobi, touching some of Kenya’s most desirable real estate.

Liban Yasin Alishire, another conspirator who pleaded guilty in 2023, was forced to forfeit the Karibu Palms Resort in Diani, a luxury property on Kenya’s Indian Ocean coastline. He also surrendered a house in Nairobi, several cars, and a boat. At age 43, Alishire’s plea agreement stripped him of assets purchased with his share of the stolen Sh315 million he obtained from the scheme.

The coastal property seizure sent ripples through Kenya’s tourism industry, raising uncomfortable questions about due diligence in high-value real estate transactions. How had no one questioned the source of funds for such expensive purchases? Were banks and lawyers complicit, or simply negligent?

American Fury

The scandal has reignited America’s immigration debate with unprecedented ferocity. US Attorney General Pamela Bondi revealed that 72 of the 78 defendants are of Somali descent, a statistic that has inflamed political tensions.

Tom Emmer, the Majority Whip of the US House of Representatives, has called for the harshest possible measures. “I have three words regarding Somalis who have committed fraud against American taxpayers: Send them home,” he declared on social media. “If they’re here illegally, deport them immediately. If they’re naturalised citizens, revoke their citizenship and deport them quickly thereafter.”

FBI Director Kash Patel described the Minnesota case as “just the tip of a very large iceberg” and promised that investigations would continue. The FBI has deployed additional personnel to Minneapolis, conducting door-to-door raids at suspected fraud sites.

The Department of Homeland Security announced it is actively pursuing defendants who fled to Africa, though officials have not specified which countries are harbouring the fugitives. Five suspects remain at large, their exact whereabouts unknown.

Questions Without Answers

Despite the millions that flowed through Capital View Properties, critical questions remain unanswered. How exactly was the Sh91.7 million invested? Did the company purchase specific properties, or was it used as a holding vehicle for other transactions? Are there additional companies in Kenya serving similar purposes?

The lack of transparency is frustrating both American investigators and Kenyan authorities. While US prosecutors have successfully frozen and seized assets in America, the Kenyan properties remain largely untouched. The complexities of international asset recovery mean that recovering the stolen funds could take years, if it happens at all.

Kenyan financial regulators now face difficult questions about how such large international transfers escaped scrutiny. The Central Bank of Kenya and the Financial Reporting Centre, which monitors money laundering, have remained silent on whether they are investigating Capital View Properties or other companies linked to the scandal.

Lost in the staggering figures and international intrigue is the scandal’s original victims: hungry American children who went unfed while fraudsters enriched themselves.

During the pandemic’s darkest days, when millions of families struggled to put food on the table, these criminals exploited emergency programmes designed to help the most vulnerable. They claimed to serve millions of meals to needy children. In reality, few if any were ever provided.

The psychological impact on Minnesota’s Somali community has been devastating. Law-abiding Somali Americans now face increased scrutiny and discrimination because of the actions of a criminal minority. Community leaders have condemned the fraud while defending their community against collective punishment.

Kenya’s Dilemma

For Kenya, the scandal presents a diplomatic and legal nightmare. American officials are demanding cooperation in tracking assets and potentially extraditing suspects, but Kenya’s sovereignty and legal processes cannot be simply brushed aside.

The case has exposed weaknesses in Kenya’s anti-money laundering framework and raised concerns about the country’s attractiveness to international criminals seeking to hide ill-gotten gains. Real estate, with its high values and relative lack of transparency, remains particularly vulnerable to money laundering.

Former Deputy President Rigathi Gachagua has called on President Donald Trump to pursue fraud beneficiaries in Kenya “Venezuela-style,” referencing aggressive international enforcement actions. However, such dramatic measures would require unprecedented cooperation between Kenyan and American law enforcement, something that has historically been challenging.

As the legal process grinds forward in American courts, Capital View Properties continues to operate from its South C office. The company has not been charged with any crime in Kenya, and without a formal asset freeze, it remains free to conduct business.

Abdiaziz Farah, now 36, faces decades in prison. Beyond his 28-year sentence, he awaits additional sentencing for attempting to bribe a juror with Sh15.5 million in cash. He has been ordered to pay Sh6.1 billion in restitution, money that will be collected through asset seizures and prison wages for the rest of his life.

His brother Ahmednaji awaits trial, facing up to 20 years in federal prison if convicted. The evidence against him appears overwhelming, including photos of cash-stuffed boxes and incriminating WhatsApp messages.

For the shareholders of Capital View Properties, the future is uncertain. Even if they claim ignorance of the money’s origins, they may find their assets frozen as American prosecutors pursue every dollar of stolen funds.

The scandal serves as a stark reminder that in our interconnected world, no country is immune from international crime. A fraud conceived in Minnesota has reached deep into Nairobi’s property market, touching businesses and individuals who may never have set foot in America.

As investigations continue, one thing is clear: the full story of how stolen American Covid funds flowed through Kenyan companies has yet to be told. Capital View Properties is just one chapter in a much larger tale of greed, deception, and international crime that continues to unfold.

The question now is whether Kenyan authorities will take decisive action to investigate these transactions, or whether Capital View Properties and other similar companies will continue operating in the shadows, processing money from sources that dare not speak their name.