Man arraigned for swindling Sh4.1 million in car sale scam

A businessman was charged in connection with a high-value luxury car scam involving a Mercedes-Benz E350.

Robert Bundi Mugaa was on Friday arraigned at the Milimani Law Courts for allegedly defrauding another individual of Sh4.1 million in a fraudulent transaction.

According to the charge sheet, Mugaa is accused of tricking Brandon Njoroge Ng’ang’a into paying the amount by falsely claiming he could sell him a red Mercedes-Benz E350.

The alleged offence occurred between March 20 and 21, 2025, at an unknown location within Kenya. The offense is in violation of Section 315 of the Penal Code, which criminalizes obtaining goods or money through false pretenses.

Mugaa was later apprehended by detectives outside the Kibera Law Courts, where he had attended a separate hearing for another fraud-related case.

He was taken into custody and transferred to Kilimani Police Station for further questioning. Officials said his arrest marks a significant breakthrough in an ongoing probe into high-end vehicle fraud syndicates.

Investigations revealed that the Mercedes-Benz at the center of the case had reportedly been sold to Valley Road Motors, a Nairobi-based car dealership.

However, the transaction raised red flags after investigators uncovered conflicting ownership documents and missing signatures—indications of possible forgery or misrepresentation.

The proprietor of Valley Road Motors Francis Mundia Ng’ang’a has since distanced himself from the alleged fraud, maintaining that his dealership bought the vehicle in good faith and conducted standard due diligence.

He said the dealership voluntarily surrendered the car to authorities upon learning of the irregularities. Mugaa’s arrest has reignited concerns over a growing pattern of luxury vehicle scams in Nairobi.

He is already a suspect in a separate case involving a Sh33 million Range Rover, raising suspicions that he may be linked to a broader criminal network exploiting loopholes in Kenya’s vehicle registration and verification systems.

Detectives are now expanding their investigation, focusing on what they believe could be a well-coordinated syndicate targeting the country’s high-end car market.

Police say cases of fraud involving motor dealers have been rampant. This has prompted a major investigation that has netted dozens of suspects.