A former director of a Nairobi trading company has gone on trial over claims he siphoned more than 356 million shillings from his own firm.
The case, which opened on Thursday before Milimani Principal Magistrate Dolphina Alego, centres on Honey Khatwani, who once sat on the board of OKI General Trading Limited. He is accused of diverting company funds into personal and family accounts over a four-year period.
Testifying for the prosecution, current director Deepak Rajoriya said the company first raised the alarm after auditors flagged discrepancies in the books. “There was misappropriation of funds in the company and we hired an auditor,” Mr Rajoriya told the court. “Whatever documents were requested, we provided. The auditor furnished us with a report.”
The report suggested more than 356 million shillings was missing between 2021 and 2024. Mr Rajoriya added that he only had WhatsApp messages and the audit report to support his knowledge of the alleged theft.
Under cross-examination by defence lawyer Conrard Maloba, Mr Rajoriya admitted he was not a director at the time the alleged offences took place. He had worked at the firm’s Dubai branch until early this year, when he joined the Kenyan board. “The offence was committed when I was not in the company,” he said. “I am not aware whether they filed returns.”
Court documents show Mr Khatwani resigned as director in July 2024, shortly after the audit findings emerged. Prosecutors allege that he had secretly registered a rival business in 2022 and funnelled money from OKI into it. Transfers were also allegedly sent through M-Pesa to his wife.
The company, registered in Kenya in 2013, imports food, electronics and household goods from India, China and Turkey. Employees who processed the disputed transactions are expected to testify in the coming weeks.
Mr Khatwani, who denies wrongdoing, is accused of stealing $2.78 million (about Sh356.7 million) between January 2020 and June 2024.
The trial continues, with the court set to hear from more witnesses as prosecutors seek to establish whether one of OKI’s own directors orchestrated its multimillion-shilling loss.
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