Four Chinese nationals have been charged over an alleged SIM-swapping and money-laundering scheme after a fraud investigation triggered by the sudden loss of two mobile lines belonging to a Nairobi businesswoman.
The four — Xiaoling Gu, Guodong Fu, Wenji Gao and Gu Xiaopeng — were arraigned before the Kibra Chief Magistrate’s Court on September 1, 2026, following investigations by detectives from the Directorate of Criminal Investigations (DCI) Parklands office.
The suspects were arrested in Nairobi after detectives traced a trail of funds allegedly moved through several mobile numbers and bank accounts linked to them.
The investigation began when the businesswoman discovered that her two Safaricom lines had stopped working without warning. She was unable to make calls or access M-Pesa services and reported the matter to police.
“The investigation kicked off after the complainant discovered that her two Safaricom lines had suddenly gone dead, leaving her unable to make calls or access M-Pesa services. With her mobile lifeline cut off without warning, she reported the matter to police, prompting detectives from DCI Parklands to swing into action.”
Detectives then established that the two mobile lines had allegedly been used to receive money from a gaming and betting platform.
The funds were subsequently moved through different mobile numbers and bank accounts that investigators linked to the suspects, leading detectives to follow the financial trail.
The trail eventually led them to the four Chinese nationals, who were arrested as investigations widened.
A search of the suspects’ premises resulted in the recovery of 15 Safaricom SIM cards and nine Airtel SIM cards registered under different individuals.
Detectives also recovered six SIM cards belonging to foreign nationals, six mobile phones, laptops and three ATM cards registered to different account holders.
A total of Sh1,125,800 in cash was also recovered during the operation.
“Upon arrest, detectives descended on the suspects’ premises, where they recovered 15 Safaricom SIM cards and nine Airtel SIM cards registered under different persons, six SIM cards belonging to foreign nationals, six mobile phones, laptops, three ATM cards belonging to different account holders, and KSh1,125,800 in cash.”
The case comes as authorities continue to deal with the risks posed by mobile-enabled financial fraud in Kenya, where widespread use of mobile money has made SIM-related crimes a growing concern.
Data from the Communications Authority of Kenya shows that mobile money subscriptions reached 53.4 million, while mobile subscriptions stood at 78.7 million in the latest quarter reported by the regulator.
The figures put mobile penetration at 147.6 per cent, while the regulator also recorded 3.4 billion detected cyber-threat events during the period.
The Communications Authority’s latest consumer complaints report, covering April to June 2026, recorded 110 complaints involving digital financial services and mobile money.
A further 75 complaints were linked to cybercrime and the criminal use of information and communications technology infrastructure, while telecommunications services recorded the highest number of complaints at 239.
Recent police investigations have also pointed to the use of SIM swapping in financial crimes.
In June, DCI detectives arrested a suspect accused of using a fraudulent SIM replacement to steal Sh450,500 from a woman’s M-Pesa account.
In July, eight suspects were arrested in Marsabit over another alleged SIM-swapping scheme. Investigators said the operation resulted in the loss of more than Sh1.2 million from an M-Pesa operator.
The four Chinese nationals remain in custody as they await a ruling on their bond application, which is scheduled for September 4, 2026.
Detectives are continuing to examine the movement of the funds and follow other leads as they seek to establish whether more people were involved in the alleged scheme.
“Meanwhile, detectives are following the money trail, connecting the dots as they pursue additional leads that could lead to the arrest of more suspects linked to the fraud.”
The DCI has urged members of the public with information that may assist in the investigations to report it through its toll-free number 0800 722 203 or WhatsApp number 0709 570 000.
The four suspects have not been convicted of any offence and remain innocent unless proven guilty by a court.