News
Notorious Car Dealer Charged in Sh187 Million Fraud Scandal
The businessman is accused of conning a Japanese supplier, Prosper Sugai, out of high-end vehicles and a milk powder packaging machine over a three-year period.
NAIROBI, Kenya — A prominent Nairobi car dealer has been arraigned in court over a multi-million shilling fraud involving luxury vehicles and high-value machinery, in what prosecutors are calling one of the boldest scams in the city’s recent commercial history.
Daniel Muriithi Waweru, the proprietor of Daniel Outlet Company, was on Monday charged with obtaining goods worth approximately Sh187 million through false pretenses.
The businessman is accused of conning a Japanese supplier, Prosper Sugai, out of high-end vehicles and a milk powder packaging machine over a three-year period.
According to court documents, Waweru allegedly acquired vehicles worth 8,278,673 Japanese Yen (approximately Sh7.5 million) from Sugai between October 8, 2020, and June 22, 2022.
The cars include Range Rovers, Land Cruisers, Toyota Voxys, Daihatsus, and Suzuki Altos.
He is said to have falsely claimed he had the capacity and intent to pay for the units—a fact he allegedly knew to be untrue.
In a separate but related charge, Waweru is accused of obtaining an automatic milk powder packaging line valued at USD 1,413,832 (about Sh180 million) between January 25, 2021, and January 21, 2024, under similar fraudulent circumstances.
He appeared before Senior Principal Magistrate Ben-Mark Ekhubi, where he denied all the charges.
In his defense, Waweru painted the case as a fallout from a bitter employer-employee relationship.
He told the court he previously worked for the complainant for six years and only recently set up his own business in Japan.
He claimed the dispute stems from unsettled dues, including unpaid salaries spanning two years.
Waweru also revealed that the matter is being pursued in Japan, where he has been summoned to appear in court in September 2025.
Seeking lenient bail terms, Waweru pleaded with the court, saying his business had collapsed under the weight of the allegations and that he was trying to rebuild from scratch.
Magistrate Ekhubi directed that a pre-bail report be filed and set August 5, 2025, as the date for bail ruling.
The case adds to a growing list of high-profile fraud cases currently under investigation as authorities intensify a crackdown on white-collar crime in Kenya.
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