‘Software’ or Money Laundering? MozzartBet’s Shady Deals Exposed as Judges Recover Dirty Cash!

Court of Appeal upholds seizure of Sh.256 million from betting giant in damning ruling that exposes web of suspicious transactions

In a devastating blow to one of Kenya’s prominent betting companies, MozzartBet Kenya Limited has lost its final appeal to recover Sh.256 million that courts declared to be proceeds of crime.

The Court of Appeal’s scathing 37-page judgment has laid bare what appears to be an elaborate money laundering scheme disguised as legitimate software contracts.

The shell game unraveled

At the heart of this financial scandal lies Kimaco Limited, a company that MozzartBet claimed was a legitimate software developer contracted to deliver betting systems. But appellate judges Francis Toiyott, Fred Ochieng, and Aggrey Muchelule weren’t buying it.

“If it walks like a duck, swims like a duck, and quacks like a duck, then it probably is a duck,” the judges pointedly observed, describing Kimaco as nothing more than a shell company lacking any real capacity to deliver on its alleged contracts.

The Asset Recovery Agency (ARA) successfully proved that Kimaco was “incorporated as a Special Purpose Vehicle for purposes of laundering funds under the guise that it was engaged in the business for the supply of software systems.”

Despite receiving a staggering Sh.256 million advance payment, MozzartBet itself confirmed that Kimaco had failed to deliver on any contract milestones.

Directors in the money trail

The court’s investigation revealed a damning pattern of suspicious financial flows that implicated MozzartBet’s own leadership.

Directors Emmanuel Charumbira (Zimbabwean national), Musa Cherutich Sirma (Kenyan national), and Serbian national Loncar Koviljke found themselves at the center of questionable transactions.

Evidence showed that substantial sums flowed from Kimaco’s accounts directly into the pockets of MozzartBet directors through a complex web of intermediary accounts.

Branimir Melentijevic, a shareholder of MozzartBet Africa (the majority owner of the Kenyan betting firm), received funds totaling over USD 100,000 through suspicious invoices allegedly for software services.

The paper trail that led to conviction

State counsel Githinji painted a picture of systematic deception during court proceedings.

M-Pesa transaction records revealed how money moved from MozzartBet to Kimaco’s bank accounts at Diamond Trust Bank and Co-operative Bank.

From there, funds were channeled through Pescom Kenya – another entity controlled by the same individuals – before landing in the personal accounts of MozzartBet’s directors.

The prosecution highlighted a particularly damning piece of evidence: Kimaco filed nil returns with the Kenya Revenue Authority throughout the period in question, effectively admitting it conducted no legitimate business while handling hundreds of millions of shillings.

MozzartBet’s legal team, supported by lawyer Patrick Lutta representing Kimaco Connection Limited, attempted to argue that the funds originated from legitimate betting revenues.

They claimed MozzartBet had generated over Sh.17 billion from betting operations and that investigations had given the company a “clean bill of health.”

However, the Court of Appeal found these arguments unconvincing.

The judges ruled that “the totality of the evidence put persons holding directorships or connected with MozzartBet as beneficiaries of funds from Kimaco” and that there was “sufficient evidence, on the statutory threshold of balance of probabilities, to implicate MozzartBet.”

Justice served, dirty money seized

The appellate court’s unanimous decision upheld the High Court’s original finding that the Sh.256 million constituted proceeds of crime.

The judges dismissed MozzartBet’s appeal as lacking merit, noting that the betting company had “failed to satisfactorily explain the connections with an entity that was conducting its affairs in a questionable manner.”

This landmark case sends a strong message to Kenya’s gambling industry and beyond: sophisticated financial schemes designed to launder money through fake contracts will not escape judicial scrutiny.

The Asset Recovery Agency’s successful prosecution demonstrates that even when criminals attempt to hide behind legitimate business facades, the long arm of the law will eventually catch up.

As MozzartBet counts its losses – both financial and reputational – this case stands as a stark reminder that in Kenya’s courts, money may talk, but justice speaks louder.