Michael Mundia Kamau's Website

             The Nicholas Colin Olivier Watney Fraud Case (I)

The lengthy manuscripts below relate to an undercover operation in which I played a key role in the years 2003 and 2004, when I worked at Barclays Advisory and Registrar Services Limited

Unfortunately, the matter ended on a sour note but I nevertheless submit it in public interest.

I also take prior steps to explain a number of grey areas below, that are not altogether necessarily clear in the said below manuscripts:

You will note that the three key characters in the lengthy saga below are myself, Pulin Shah and Dr. Brian Peter Harrop.

Mr. Shah’s initial contact with me and his insistence that I meet either him or Dr. Harrop, prompted me to ask him whether he was sure that I was the right “Kamau” because “Kamau” is a very common name in Kenya.

After continued insistence and persistence from he and Dr. Harrop, I eventually agreed to meet Mr. Shah on 15th December 2003.

While we were at Nairobi’s Serena Hotel, Mr. Shah spoke big, in a definite attempt to try and impress me. He mentioned how he once owned a multi-million Kenya shilling prawn farm in Malindi, whose ownership was irregularly wrenched from him by operatives in the Kenya government that exited from power in the year 2002. He also mentioned that he had been regularly meeting the then Justice and Constitutional Affairs Minister of the Kenya government that came into power in 2003, Hon. Kiraitu Murungi, regarding the confiscation of his prawn farm, and possible reacquisition of it.

One other thing I distinctly remember about my first “formal” meeting with Mr. Shah on 15th December 2003, was the fact that Mr. Shah told me that he was scheduled to meet Hon. Murungi that very same evening at 8.00 p.m. I remembered this later on that evening at about 8.30 p.m. as he was having his wine and me, my beers.

I reminded him about the 8.00 p.m. appointment he had told me about, but he brushed it off, saying that the Hon. Murungi could wait! In my mind, I dismissed Mr. Shah as a joker at this very stage, until
of-course Friday 9th January 2004. It was on this date (Friday, 9th January 2004, that is), that I realised we were dealing with a case
of actual big time fraud. I must say that I was quite stunned. Eventual compensation to the victim, Nicholas Colin Olivier Watney, came to 52 million Kenya shillings (approximately US $ 800,000), as I was later made to understand.

Later that evening (15th December 2003), Mr. Shah’s wife, a polished British citizen of Asian extraction and Kenyan birth who resides in the United Kingdom, briefly joined Pulin and I, before she and Pulin departed to the Nairobi's Jomo Kenyatta International Airport to catch a flight to the United Kingdom.

On the night we were arrested at Nairobi's Norfolk Hotel, Wednesday 12th May 2004, there were also certain observations I made at Nairobi’s Central Police Station, as we were being booked in.

Mr. Shah had numerous cell phone SIM cards in his brief case. The SIM cards were for networks in Kenya, Uganda and Tanzania as I remember him explaining. A forged Kenyan passport of Dr. Harrop’s Ethiopian wife, was also found in Mr. Shah’s briefcase. Finally, Mr. Shah’s brief case had a large amount of cash stacked in bundles of brand new Kenya currency notes of the one thousand shilling denomination. I got a good glance of the cash as Mr. Shah was being booked in and estimate the amount at having been between 400,000 Kenya shillings and 500,000 Kenya shillings (between approximately US $ 6,154 and US $ 7,692).

I spent much of the first part of the next day, 13th May 2004, at the 5th floor Marshalls House Nairobi offices of the Banking Fraud and Investigation Unit (B.F.I.U.). I was treated well and spoke briefly with
the then acting director of B.F.I.U., Detective-Superintendent Leting, before being ushered into a waiting room.

After a reasonably long wait, I was again ushered into Leting’s office and after not too long, about six detectives (including Leting), assembled in Leting’s office.

Soon thereafter, Dr. Harrop was brought into Detective-Superintendent Leting’s office and we exchanged greetings before he jokingly called me a “bastard”. In the several meetings that Dr. Harrop and myself had
had prior to 12th May 2004, he had incidentally mentioned to me how he invested funds abroad on behalf of staff working for the United Nations here in Nairobi. These included Kenyans working for the UN.

Dr. Harrop was clearly nervous. Two things I distinctly remember him nervously mentioning in Detective-Superintendent Leting’s office that Thursday afternoon, 13th May 2004, were “… I don’t want to go to jail…!” and “…I am not a criminal…” He began spilling the beans on the fraudulent transaction with no prompting at all. One name of an accomplice I remember him mentioning was “David”. He also mentioned how the account for the fraudulent proceeds was opened at Kenya Commercial Bank, Ukunda, at the Kenyan coast. He also mentioned how his cut was 3 million Kenya shillings (approximately US $ 46,150), and how Mr. Shah had used part of his proceeds from the fraudulent transaction to treat a heart condition that he, Mr. Shah, had. Dr. Harrop didn’t even ask for a lawyer, or invoke the right to remain silent.

At this stage, all detectives in Leting’s office let out bemused laughter, even placing their pens on their scribbling pads. My interpretation was that they found extraction of this confession too easy and too good to
be true. Leting actually said to me “Bwana Kamau, enda lunch na urudi badaye” (which in Kiswahili means, "Mr. Kamau, go for lunch and come back later"). This was just before 1.00 p.m. on Thursday afternoon, 13th May 2004. As a civilian, I actually had no business listening to Dr. Harrop’s detailed confession.

Somewhere in my presence in between Dr. Harrop’s detailed confession, he also made a statement that prompted the following immediate and harsh response from two of the detectives: “…would you like us to show you the photographs…?!” Dr. Harrop swiftly replied “No!” I cannot exactly remember what statement it was that prompted this reaction from the detectives, but it did make me realise that the meetings I had been having with both Mr. Shah and Dr. Harrop, were all long being recorded on film.

I returned to the B.F.I.U. offices at 2.00 p.m. on Thursday afternoon, 13th May 2004, and was ushered into the office of a Detective-Inspector Birech, who I understood to be the then acting Deputy Director of
the B.F.I.U. Birech had also earlier been in Leting’s office when Dr. Harrop was making his confession.

I found Birech with Mr. Shah, and Mr. Shah and myself exchanged greetings. Mr. Shah was less friendly than Dr. Harrop, but was also equally nervous. Mr. Shah only mumbled “I thought we were friends” to me. Birech then asked Mr. Shah whether I was the one who approached both he and Dr. Harrop or whether it was the other way round, to which Mr. Shah answered that
it was both he and Dr. Harrop who had approached me. Detective-Inspector Birech then excused me and told me that the B.F.I.U. would get in touch with me if need be.

I later bumped into Detective-Inspector Ogeto, the officer in-charge of the team that arrested us on 12th May 2004, and he told me that both Mr. Shah and Dr. Harrop had been released on bail.

I was issued with a Bond to attend court as a State witness in December 2004, but the matter was adjourned because Mr. Shah had reportedly been hospitalised with an ailment.

I was also issued with another Bond to attend court as a State witness on 14th March 2005. The matter was once again “Stood over Generally” on a technicality, and that is the last that I have ever heard about the
case. It also emerged on 14th March 2005, that Dr. Harrop had jumped bail. Mr. Shah was however present on 14th March 2005. He initially snubbed me, but he later came to where I was standing and we engaged in conversation. The matter on said court session of 14th March 2005, is carried on the back page of Kenya's "Daily Nation" Newspaper of Tuesday, 15th March 2005 (www.nation.co.ke), under story titled "Police seek Briton who jumped bail". The said matter on said court session of 14th March 2005, is also carried on page 14 of Kenya's "Standard" Newspaper of Tuesday, 15th March 2005 (www.eastandard.net), under story titled "Trader's move to end theft case flops"

I last bumped into Mr. Shah and his wife, by coincidence, on 5th April 2005 at the entrance of Nairobi's Barclays Plaza, and the three of us exchanged pleasantries. I last saw Dr. Harrop on that Thursday afternoon of 13th May 2004

In attendance in court on 14th March 2005 was a representative of the Kenyan law firm in which leading Kenyan lawyer Prof. Githu Muigai, is a partner. The said representative was there on behalf of Barclays Bank of Kenya, as I recall, and he told me his role was that of an “observer”, as I understood.

I also used to regularly run into Detective-Inspector Kobuthi who was handling the court matter on behalf of B.F.I.U. and who issued me with my second Bond to attend court as a State witness. One time in the year
2006, I asked him what became of the matter and he gave me a vague answer, which I understood meant that the case had been dropped by the Republic of Kenya (the State), on a technicalities. I didn’t pursue details.

While still working at Barclays Advisory and Registrar Services Limited, I also once caught a glimpse of the e-mail address of the UK based victim, Nicholas Colin Olivier Watney, which is colin@watney.net

I will be glad to make further clarifications on the matter.

Proceed now and read the detailed manuscripts of the episode below

They are quite a mouthful!

Encls.


                 THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 1

                                                                                                       Michael Mundia Kamau
                                                                                                       C/O Barclays Advisory and
                                                                                                       Registrar Services Limited
                                                                                                       P.O. Box 30120
                                                                                                       00100 GPO
                                                                                                       Nairobi

                                                                                                       9th January 2004

Around early November 2003, a gentleman of Asian origin came to our office and asked to see me regarding an East African Breweries Limited (EABL), shareholding. He introduced himself as Mr. Pulin Shah, showed me an EABL share certificate, and made general enquiries on the sale and purchase of shares. We had a brief discussion and he concluded  by saying that we should have a drink.

I didn’t think much of the incident and his invitation for a drink until he called me about a week later, and I told him that we could arrange for it at a later date. During this second encounter, Mr.Shah said he was flying to the United Kingdom for business, but said that an associate of his called Dr.Brian Peter Harrop would get in touch with me. Dr. Harrop, Mr. Shah told me, was of Caucasian origin. Soon after this, I proceeded to complete the remaining days of my annual leave starting 12th November 2003, and returned back to the office on 2nd December 2003. I had no contact with either Mr. Shah or Dr. Harrop during the period that I was on leave.

About a week after my return to the office, Dr. Harrop called me and again brought up the subject of meeting either him or Mr. Shah. I became very curious about why the pair were so eager and determined to have a meeting with me, though I did not mention this to Dr. Harrop over the phone. Dr. Harrop told me that he was in the country briefly, and was set to fly back shortly to the U.K. , where both he and Mr. Shah are based. Mr. Shah, who Dr. Harrop told me was also in the country at the time, would be here longer than he, and it was therefore more appropriate that I meet Mr. Shah.

I agreed to meet Mr. Shah at the Stanley Hotel on the evening of 15th December 2003 where we had a brief meeting before proceeding to the Serena Hotel. It was at the Serena Hotel that Mr. Shah introduced the subject of why he and Dr. Harrop wanted to see me. Mr. Shah said that he got to know of me through a reply I made to a “fictitious” query he had made regarding an EABL shareholding in the name of one Shantilal Meghji Shah. He went to explain to me in detail how he and Dr. Harrop were aware of big shareholdings in EABL that were dormant because either the shareholders were deceased, or had emigrated from Kenya several years ago, and were therefore unaware of their shareholdings, or had lost track of them. Mr. Shah suggested that he, Dr. Harrop, myself and a fourth unnamed individual who Mr. Shah said was a Kenya Commercial Bank Limited (KCB), bank manager in Mombasa, could form ourselves into a syndicate and fraudulently benefit from these dormant shareholdings. My role would be to provide information on the dormant accounts and advise on the documents required to effect a successful fraudulent transaction. The role of Mr. Shah would be logistics and that of Dr. Harrop would be to handle technical matters. The unnamed KCB bank manager in Mombasa would be responsible for handling the cash transactions in a manner that would not draw suspicion. Mr. Shah further mentioned that they had also targeted the KCB share register for similar fraudulent transactions. Mr. Shah also mentioned that “they” had so far pulled of a fraudulent transaction on the EABL share register for a shareholding value of US $ 250,000.

Mr. Shah suggested that I could meet Dr. Harrop before or after Christmas for more details. I told him that Dr. Harrop and I should meet after the Christmas holidays. Mr. Shah was so determined that we hurriedly conclude the groundwork to the initial process, and even left me with a cell phone handset that I could use to contact him, after I told him that I didn’t have a cell phone. Mr. Shah and I parted after about three hours. He told me that he was proceeding to the United Kingdom for the Christmas holidays.

On the 5th of January 2004, I received another telephone call from Dr. Harrop asking that we arrange for a meeting. I told Dr. Harrop that we could meet on the evening of 7th January 2004, and he suggested that we meet at the first floor lounge of the Stanley Hotel. He told me that he would be dressed in a white short sleeved shirt. I met Dr. Harrop a few minutes after 6.00 p.m. on Wednesday, 7th January 2004. At some point early on in the discussion, I recognised Dr. Harrop as the Caucasian gentleman who had visited our office some time in the year 2003, though I didn’t immediately tell him so. I remember the 2003 incident being one of a Caucasian gentleman (Dr. Harrop, who I didn’t know then), who had come to make an EABL shareholding query on behalf of a client.

Dr. Harrop introduced himself as Briton and a stockbroker by profession. He had stayed in Kenya and other parts of Africa for several years and was therefore conversant with the continent. He told me he had met Mr. Shah, an Asian Kenyan, during his stay in Kenya 14 years ago, and again when both he and Mr. Shah emigrated again to the U.K. five years ago. Dr. Harrop told me that Mr. Shah was also a stockbroker by training and had spent several years in the United States prior to 1989, something Mr. Shah had also told me during our meeting of 15th December 2003. It was during this introductory period that I told him that I recognised him from a visit to our office in the year 2003. This shocked and surprised him because he didn’t expect that anyone remembered the incident, which he said happened in June 2003. This did not however deter him from giving me details on the intended scam Mr. Shah told me about on 15th December 2003.

Dr. Harrop told me that he had not intended to tell me about his 2003 visit to our office or about the details of the US $ 250,000 fraudulent transaction mentioned to me by Mr. Shah on 15th December 2003, but was forced by my recognition of him to admit that his visit to our office formed the concluding stages of the US $ 250,000 fraud. From that time on I noted that my recognition of him disturbed him considerably.

Dr. Harrop told me that the fraudulent sale was made in July 2003 through Messrs. Nyaga Stockbrokers Limited of P.O. Box 41868, Nairobi, Kenya, details of which I could half remember, something that further disturbed Dr. Harrop. I concluded my two and a half hour meeting with Dr. Harrop giving me two possible references of dormant EABL shareholdings i.e. share a/c No. XXXXXXXX with a holding of 22,500 shares in the name of Shantilal Meghji Shah, and a/c No. XXXXXXXX with a holding of 51,455 shares in the name of Michael Macdonald. Dr. Harrop appeared much more trusting of me than Mr. Shah.

The following day, Thursday, 8th January 2004, I did a check on the two accounts given to me by Dr. Harrop and found that they did not exist. I also did a check on the EABL transactions of July 2003, and established that the transaction mentioned to me by Dr. Harrop the previous day was for a shareholding of 77,610 shares held by way of share a/c No. XXXXXXXX, in the name of Nicholas Colin Olivier Watney of 14 Lyndhrust Avenue, Sunbury on Thames, Middlesex, TW 166QY, United Kingdom.

In the evening of Thursday, 8th January 2004, a few minutes after 6.00 p.m., I again met Dr. Harrop at the first floor lounge of the Stanley Hotel. I told him that the two accounts he had given me did not exist. This upset him and he mentioned how unreliable his sources were becoming. He declined to reveal his sources but further mentioned how they almost messed up the US $ 250,000 fraudulent transaction involving EABL share a/c No. XXXXXXXX mentioned above. Some of the information provided for the fraudulent transaction involving EABL share a/c No. XXXXXXXX was faulty, according to Dr. Harrop, and he was sure that problems would arise in the near future. He also mentioned how a big part of the problem involved regularly encashed dividend payments for a/c No. XXXXXXXX, which was bound to raise queries, because the entire shareholding of 77,610 shares had been sold. Dr. Harrop also declined to tell me how he knew of the history of the regularly encashed dividend payments for a/c No. XXXXXXXX.

On the evening of 8th January 2004, Dr. Harrop also made mention of an extra individual in the proposed scam whom he described as an expert at forgeries. It was this unnamed “expert forger” who had introduced me as a reference to him and Mr. Shah, in addition to the letter I wrote that Mr. Shah mentioned to me on 15th December 2003. Dr. Harrop however declined to reveal the identity of the “expert forger”, but said that it could be arranged for me to meet him. He further outlined how the proceeds of a fraudulent transaction would be split i.e. the unannmed KCB bank manager in Mombasa, 10%, the unnamed expert forger, 22.5%, myself, 22.5%, Dr. Harrop, 22.5% and Mr. Shah, 22.5%.

Dr. Harrop insisted that I move urgently to identify dormant accounts in EABL and British American Tobacco (Kenya) Limited (B.AT.), to enable the “syndicate” process the necessary documentation and quickly reap the “proceeds”. Dr. Harrop even suggested that we execute our first “job” in a week’s time. I told Dr. Harrop “to give me time” to identity dormant accounts without drawing suspicion. I noted that he seemed to have a lot of “trust” in me. We parted ways again after about two and a half hours and agreed that Mr. Shah and I would meet in two week’s time from 8th January 2004.

In the morning of Friday, 9th January 2004, I made a verbal report of all the above information to my superiors Mr. Joseph Gichuhi and Mr. Mark Mbwayo, and after discussion, was asked to prepare this written report.


Michael Mundia Kamau


                        THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 2

                                                                                                          Michael Mundia Kamau
                                                                                                          C/O Barclays Advisory and
                                                                                                          Registrar Services Limited
                                                                                                          P.O. Box 30120
                                                                                                          00100 GPO
                                                                                                          Nairobi

                                                                                                          24th February 2004

Further to my report of 9th January 2004, I have either spoken or met Mr. Pulin Shah and Dr. Brian Peter Harrop on roughly nine occasions. I have also been in constant communication with Mr. George Otieno of Barclays Africa Security and Investigative Services (BASIS), since 9th January 2004.

On Thursday, 19th February 2004, I had a meeting with Mr. Otieno and a Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit, and they both advised me to activate the cell phone handset given to me by Mr. Shah on 15th December 2003. This I did on Friday, 20th February 2004 by acquiring Safaricom cell phone No. XXXX XXXXXX.

On Monday, 23rd February 2004, I met Mr. Shah at The Stanley Hotel’s Thorn Tree restaurant at about 6.15 p.m. As was the case on 15th December 2003, we chatted briefly and proceeded to The Serena Hotel poolside bar. At the Serena Hotel, I gave Mr. Shah six dormant accounts sanctioned by the Office i.e. Barclays Advisory and Registrar Services Limited, which “we were to target for our fraudulent schemes”. Mr. Shah was pleased with the progress and said he would report the same back to Dr. Harrop, who he said was currently in the United Kingdom. We then engaged in general and lengthy discussions over drinks, Mr. Shah drinking red wine and I, Tusker Lager beers.

In between, we were joined by a lady friend of Mr. Shah’s called Natalya, a Russian residing in Nairobi. In between also, the alcohol starting taking effect and Mr. Shah slightly let down his guard. During this lapse, I gathered from Mr. Shah that local Kenyan Whites, who Mr. Shah referred to as “KCs” i.e. “Karen Cowboys”, were involved in the US $ 250,000 fraudulent transaction involving EABL share a/c No. XXXXXXXX in the name of Nicholas Colin Olivier Watney. He did not however reveal their identities. He like Dr. Harrop, was also upset at being partly “double crossed” by the “Karen Cowboys”. According to Mr. Shah for instance, the “Karen Cowboys” said that they had an inside contact in Barclays Advisory and Registrar Services Limited, which he and Brian later established was not true. Mr. Shah also made mention of “some Kikuyus” who wanted “more than their fair share of the spoils”, something that also displeased both he and Dr. Harrop. Regarding the above Nicholas Colin Olivier Watney case, when Dr. Harrop and I met at The Stanley Hotel on 12th February 2004, he did mention a contact at the Head Office of East African Breweries Limited, who enabled them obtain the specimen signature of Nicholas Colin Olivier Watney. He revealed nothing further, however. On the three occasions that Dr. Harrop and I have met, we have both been drinking Tusker Lager beers, but Dr. Harrop appears more stringent with his guard than Mr. Shah.

My meeting with Mr. Shah on Monday, 23rd February 2004, ended at 11.00 p.m. at The Serena Hotel. He dropped me in town five minutes later, and we planned to have dinner on Wednesday, 25th February 2004. “Definite action plans” would be drawn up at the dinner meeting of Wednesday, 25th February 2004.


Michael Mundia Kamau


                         THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 3

                                                                                                     Michael Mundia Kamau
                                                                                                     C/O Barclays Advisory and
                                                                                                     Registrar Services Limited
                                                                                                     P.O. Box 30120
                                                                                                     00100 GPO
                                                                                                     Nairobi

                                                                                                     26th February 2004

Further to my meeting with Mr. Shah on the 23rd February 2004, I spoke to him the following day i.e. Tuesday, 24th February 2004 through cell phone. He said that he had communicated with Dr. Harrop regarding the six accounts I had given him the previous day. Dr. Harrop he said, was however uncomfortable with the nature of the accounts i.e. three were in the names of deceased persons, one was a joint shareholding, and the other was in the name of a lady. Only one share account of the six that I given Mr. Shah, therefore seemed viable. During my meeting with Dr. Harrop on 7th January 2004, I had given him the impression that we were very strict with Probate documents issued overseas, and would sometimes go to the length of verifying them through locally based Embassies and High Commissions. Dr. Harrop was thus uncomfortable with shareholdings held by deceased persons.

Mr. Shah therefore urged me to identify two other accounts, one in the name of a White, and the other in the name of an Asian. I told him that we would therefore have to re-schedule our meeting of Wednesday, 25th February 2004 to Thursday, 26th February 2004. Mr. Shah had no objection with the postponement.

I reported this to the Head of Registrar Services who felt the need to stick to the original meeting date of Wednesday, 25th February 2004. The Head of Registrar Services asked me to get in touch with Mr. Shah again and discreetly tell him that I had been able to identify two further accounts in advance. This would make it possible for Mr. Shah and I to stick to our original meeting date of Wednesday, 25th February 2004.

The Head of Registrar Services arranged for the identification of two further accounts and I called Mr. Shah again on cell phone to notify him that I had located two accounts in advance. Mr. Shah was excited at this news and asked that we meet at The Stanley Hotel’s Thorn Tree restaurant at 6.30 p.m. on Wednesday, 25th February 2004. I also called Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit on cell phone, to notify him of the meeting. While waiting for Mr. Shah at The Stanley Hotel’s Thorn Tree restaurant, I noted the presence of Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit. Mr. Kisaka was in the company of a second gentleman.

Mr. Shah arrived at about 6.45 p.m. and we proceeded to The Serena Hotel poolside bar. Mr. Shah was very excited with the two extra identified accounts, one with a holding of 70,291 EABL shares, and the other with a holding of 15,940 EABL shares, something he continually mentioned for the rest of the evening. As was the case on Monday, 23rd February 2004, we engaged in discussions over drinks, Mr. Shah drinking red wine and I, Tusker Lager beers. He however said that he needed the postal addresses we had on record for the two accounts, as well as details of all unpaid dividends. Mr. Shah also mentioned that Dr. Harrop had said that I also actively pursue the identification of dormant British American Tobacco (Kenya) Limited (B.AT.), share accounts. The issue of payoffs came up once again during our discussions. I reminded Mr. Shah of the pledge he made on 15th December 2003, to arrange for the “share of my proceeds” to be discreetly handled through the Kenya Commercial Bank Limited banking network by the unnamed Mombasa based Kenya Commercial Bank Limited bank manager. He told me not to worry at all about this, and stuck to his initial pledge. He did however add that he had good connections in Kenyan branches of the Investments & Mortgages Bank (I & M), as an alternative to Kenya Commercial Bank Limited, if operating a Kenya Commercial Bank Limited account would prove too cumbersome for me.

In between, Mr. Shah and I were once again joined by his Russian lady friend Natalya, in the company of a light skinned gentleman introduced as Fabian. The four of us continued to have drinks and concluded with dinner at the Mandhari restaurant, all paid for by Mr. Shah. The total bill came to about US $ 200.

The session ended at about 11.40 p.m. and I was dropped in town five minutes later. Mr. Shah and I agreed that I would provide him with the additional information the following day i.e. Thursday, 26th February 2004.

I reported this to the Head of Registrar Services the following day i.e. Thursday, 26th February 2004, and he authorised me to provide Mr. Shah with the additional information he required.


Michael Mundia Kamau


                    THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 4

                                                                                                       Michael Mundia Kamau
                                                                                                       C/O Barclays Advisory and
                                                                                                       Registrar Services Limited
                                                                                                       P.O. Box 30120
                                                                                                       00100 GPO
                                                                                                       Nairobi

                                                                                                       27th February 2004

Further to my meeting with Mr. Shah on Wednesday, 25th February 2004, we had a brief meeting the following day, Thursday, 26th February 2004 at approximately 6.42 p.m. at Nairobi’s Grand Regency Hotel.

As scheduled, I gave him the postal addresses and dividend payment statements for East African Breweries Limited share account numbers XXXXXXXX and XXXXXXXX in the names of  Timothy Stuart Hurst and Suresh Jasraj Seth, respectively. Mr. Shah strong reservations about Timothy Stuart Hurst’s EABL share account inspite of it’s “attractive” shareholding of 70,291 shares, because all dividends had been regularly encashed over the years, save for one unclaimed dividend dating back to 1997 for an amount of US $ 6,356. He said that he therefore had to confer first with Dr. Harrop on how to approach Timothy Stuart Hurst’s EABL share account, because as he put it, problems could arise in six months time. All dividends for Suresh Jasraj Seth’s EABL share account (15,940 shares), were however unpaid, and Mr. Shah felt that fraudulent transactions on this particular account could commence immediately.

We agreed that I would provide him with the general e-mail address for Barclays Bank of Kenya Limited the following day i.e. Friday, 27th February 2004, which he and Dr. Harrop would use for initial contact with Barclays Advisory and Registrar Services Limited. As indicated, the meeting was brief and ended at about 6.55 p.m.

On Friday morning, 27th February 2004, I sent Mr. Shah the general e-mail address for Barclays Bank of Kenya Limited i.e. bbk@africaonline.co.ke, by Short Messaging Services (SMS), and he acknowledged receipt with thanks through the same SMS medium.


Michael Mundia Kamau

                     THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 5

                                                                                                           Michael Mundia Kamau
                                                                                                           C/O Barclays Advisory and
                                                                                                           Registrar Services Limited
                                                                                                           P.O. Box 30120
                                                                                                           00100 GPO
                                                                                                           Nairobi

                                                                                                           3rd March 2004

Further to Friday morning, 27th February 2004, I sent Mr. Shah an SMS on Monday morning, 1st March 2004, asking him whether there were any new developments. He did not respond to my message.

On Monday evening, 1st March 2004, I went to watch a film at Nairobi’s Kenya cinema and therefore switched off the mobile given to me by Mr. Shah on 15th December 2003. The film ended a few minutes after 8.00 p.m. When I switched on the mobile again, I found an SMS message from Mr. Shah telling me that he had tried to call me unsuccessfully. I attended to other private matters and then called Mr. Shah at 9.30 p.m. Mr. Shah told me that Dr. Harrop had already sent an e-mail to bbk@africaonline.co.ke, and as he put it “the ball was already rolling”.

On Tuesday morning, 2nd March 2004, I reported the progress to the Head of Registrar Services, who then made enquiries about the e-mail to the relevant persons. The response was that bbk@africaonline.co.ke, was an obsolete e-mail address. I was then provided with two alternative e-mail addresses i.e. barclays.kenya@barclays.com and azu.ogola@barclays.com, for me to pass on to Mr. Shah. This I did through SMS at approximately 12.23 p.m. on Tuesday afternoon, 2nd March 2004. The e-mail address I sent to Mr. Shah by SMS was barclays.kenya@barclays.com. I also apologised to Mr. Shah in the same SMS, for providing the initial obsolete e-mail address. Mr. Shah acknowledged receipt with thanks by SMS.

I tried calling Mr. Shah on Tuesday evening, 2nd March 2004 to ask him whether there was any need for us to meet the same evening, but couldn’t get through. I however left a message for him on his voice mail. I similarly went to watch a film at Nairobi’s 20th Century Fox Theatre on Tuesday evening, 2nd March 2004, and again switched off the mobile given to me by Mr. Shah on 15th December 2003. After the film ended at about 8.00 p.m., I switched on the mobile and again found an SMS message from Mr. Shah telling me he had tried to call me unsuccessfully. I called Mr. Shah at 8.08 p.m. and he told me that he had sent the e-mail address i.e. barclays.kenya@barclays.com, to Dr. Harrop, who had already sent a fresh e-mail. Mr. Shah also told me that the first e-mail sent by Dr. Harrop to bbk@africaonline.co.ke, had already returned back to sender as “undeliverable”. We agreed that we would talk the following day, Wednesday, 3rd March 2004, to review the progress.

Inconsistencies in some of the things that Mr. Shah is telling me are detectable. For instance, in our first meeting of 15th December 2003, Mr. Shah told me he attended Lenana School in the 1970s. On Monday, 23rd February 2004 while I was conversing generally with Mr. Shah, he at one moment however “recalled his school days in Nairobi School with among others, Gideon Moi”. It is general knowledge that Gideon Moi attended Nairobi’s St. Mary’s School.

It also appears that Mr. Shah has a hand in other dealings. During our brief meeting on Thursday evening, 26th February 2004 at Nairobi’s Grand Regency Hotel, Pulin told me he was scheduled that evening, to meet a gentleman from the Kenya Revenue Authority (KRA), who helps him with errands related to Personal Identification Numbers (PIN). Mr. Shah did not however elaborate.

Michael Mundia Kamau

                          THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 6

                                                                                                            Michael Mundia Kamau
                                                                                                            C/O Barclays Advisory and
                                                                                                            Registrar Services Limited
                                                                                                            P.O. Box 30120
                                                                                                            00100 GPO
                                                                                                            Nairobi

                                                                                                            8th March 2004

Further to Wednesday morning, 3rd March 2004, I called Mr. Shah by way of cell phone on Thursday morning, 4th March 2004 at 11.18 p.m. Mr. Shah told me he had not received word from Dr. Harrop regarding progress. Mr. Shah however told me he would call me back.

Mr. Shah called me back by way of cell phone on Thursday afternoon, 4th March 2004 at 12.53 p.m. and told me that the Head of Registrar Services had responded to Dr. Harrop’s e-mail (see report of 3rd March 2004), asking that a formal written letter of enquiry be prepared. Mr. Shah wanted to know from me whether I would be able to obtain the specimen signature of Suresh Jasraj Seth (see report of 27th February 2004), in the period Thursday, 4th March 2004 and Friday, 5th March 2004, which Dr. Harrop could then use in compiling the formal letter asked for. I told Mr. Shah I could not be sure of this. Mr. Shah told me that if I was not able to obtain the specimen signature on either Thursday, 4th March 2004 or Friday, 5th March 2004, then it would have to wait for the week beginning 7th March 2004, when Dr. Harrop was due in the country. Mr. Shah told me he was flying back to the United Kingdom on Friday, 5th March 2004.

I tried calling Mr. Shah unsuccessfully by way of cell phone for most of the day on Friday, 5th March 2004. A hitch in the Safaricom network on Friday, 5th March 2004 hindered communication. I did manage to send Mr. Shah an SMS. Mr. Shah however called me by way of cell phone on Friday evening, 5th March 2004 at 6.50 p.m. He acknowledged the hitch in the Safaricom network. Mr. Shah told me that his plans to fly out that evening still stood, and he told me that Dr. Harrop was due in the country on either Monday, 8th March 2004 or Tuesday, 9th March 2004. Mr. Shah told me that Dr. Harrop had my cell phone number which he would use to get in touch with me. Mr. Shah also told me he would be back in the country around 23rd March 2004. I told Mr. Shah that “I would not let them down”.

Dr. Harrop has on two occasions mentioned to me that he keeps a private office here in Nairobi “looked after by a local from Western Kenya”.


Michael Mundia Kamau

                     THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 7

                                                                                                        Michael Mundia Kamau
                                                                                                        C/O Barclays Advisory and
                                                                                                        Registrar Services Limited
                                                                                                        P.O. Box 30120
                                                                                                        00100 GPO
                                                                                                        Nairobi

                                                                                                        10th March 2004

On Tuesday morning 9th March 2004, George Otieno of Barclays Africa Security and Investigative Services (BASIS), called me for an update on developments. I personally delivered Mr. Otieno copies of the reports I have been compiling to his Market Branch office, at approximately 11.30 a.m. on 9th March 2004.

Soon after I returned to Barclays Advisory and Registrar Services Limited at about 11.40 a.m. on 9th March 2004, Dr. Harrop called me and told me that he was in the country as discussed by Mr. Shah and myself in the week ended 6th March 2004. Dr. Harrop asked me whether I had been able to obtain Suresh Jasraj Seth’s EABL specimen signature. I told him I had not but was working on it. Dr. Harrop told me he was in the country for only a week and therefore asked me to be quick about it. He also asked me to identify a big dormant shareholding account in the name of a White in either East African Breweries Limited (EABL) or British American Tobacco (Kenya) Limited (B.A.T.), which he would fraudulently front for. I asked him for a cell phone contact I could reach him by in the event that something came up. Dr. Harrop told me he would call me the following day, Wednesday, 10th March 2004, with his cell phone contact. Dr. Harrop told me he was using a land-line “in his office” during the 11.40 a.m. conversation that he and I had on 9th March 2004. I also gave Brian “my” cell phone number i.e. XXXX XXXXXX.

Immediately after I concluded my 11.40 a.m. conversation with Brian on 9th March 2004, I called Mr. George Otieno of Barclays Africa Security and Investigative Services (BASIS), for directions. Mr. Otieno said that we wait for the following day, Wednesday, 10th March 2004, when the Head of Registrar Services would be back at the office.

On Wednesday morning, 10th March 2004 the Head of Registrar Services did indeed briefly come to the office and called me into his office for an update. I gave him an update and he told me that he had already made arrangements for me to obtain Suresh Jasraj Seth’s specimen signature, for onward delivery by me to Dr. Harrop.The previous day, Tuesday, 9th March 2004, Mr. Otieno had emphasised that I notify him before handing Dr. Harrop Suresh Jasraj Seth’s specimen signature, something that the Head of Registrar Services also reiterated during our discussion on Wednesday morning, 10th March 2004. The Head of Registrar Services also told me to deal only with Mr. Otieno during his absence.

On Wednesday afternoon, 10th March 2004 at about 12.07 p.m., Dr. Harrop called me again, but this time on “my” cell phone number XXXX XXXXXX. He again asked on my progress in obtaining Suresh Jasraj Seth’s EABL specimen signature. I told him I hoped to obtain the specimen signature on either Wednesday, 10th March 2004 or Thursday, 11th March 2004. He again empahsised that time was of the essence and sounded very anxious on the telephone. He also again brought up the subject of me identifying a big dormant shareholding account in the name of a White in either East African Breweries Limited (EABL) or British American Tobacco (Kenya) Limited (B.A.T.), which he could fraudulently front for. I in turn also sought a cell phone contact from him. He told me that he was calling me from “his office land-line”, and said that we disconnect to enable him call from his cell phone. This we did and Dr. Harrop again called me on “my” cell phone number a few seconds later at 12.11 p.m. on Wednesday afternoon, 10th March 2004, from cell phone number 0721 569296. Dr. Harrop told me that cell phone number 0721 569296 was his cell phone number. The cell phone number that I have been reaching Mr. Shah by is 0721 691734

Michael Mundia Kamau

                        THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 8

                                                                                                              Michael Mundia Kamau
                                                                                                              C/O Barclays Advisory and
                                                                                                              Registrar Services Limited
                                                                                                              P.O. Box 30120
                                                                                                              00100 GPO
                                                                                                              Nairobi

                                                                                                              11th March 2004

On Wednesday evening, 10th March 2004, Dr. Harrop called me on “my” cell phone at 5.33 p.m. His tone was much less friendly and more anxious, aggressive and harsh. Dr. Harrop wanted to know my progress in obtaining Suresh Jasraj Seth’s EABL specimen signature. He told me he was flying to Addis Ababa, Ethiopia, on Friday evening, 12th March 2004, and needed the specimen signature before then. I told him that I hoped to obtain the specimen signature on either Thurday, 11th March 2004 or Friday, 12th March 2004. Dr. Harrop told me in a harsh tone to give him a definite date and time that I would be able to deliver the specimen signature to him. I told him to give me up to Friday, 12th March 2004.

For the third time in two days, Dr. Harrop brought up the subject of me identifying a big dormant shareholding account in the name of a White in either East African Breweries Limited (EABL) or British American Tobacco (Kenya) Limited (B.A.T.), which he could fraudulently front for. I told him that I had already provided him and Mr. Shah with eight dormant accounts and he should choose an appropriate account in the name of a White, from the eight. Of the possibilities, Dr. Harrop said one was a big and “attractive” shareholding, but was too risky because of the regularly encashed dividends, while the other was of a small holding of roughly 5,000 shares (approximate value of US $ 34,014  as at date of this report), and this according to him was not worth the effort. Dr. Harrop was eager and anxious for me to identify a bigger dormant account in the name of a White in either East African Breweries Limited (EABL) or British American Tobacco (Kenya) Limited (B.A.T.), to be “acted” on concurrently with Suresh Jasraj Seth’s EABL shares account.

I told Dr. Harrop to first allow me to focus on obtaining the specimen signature of EABL shares account No. XXXXXXXX in the name of Suresh Jasraj Seth, to avoid jeopardising “the entire fraudulent venture”.

We agreed that Dr. Harrop and I would talk on Thursday, 11th March 2004 to review the progress.


Michael Mundia Kamau

                      THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 9

                                                                                                              Michael Mundia Kamau
                                                                                                              C/O Barclays Advisory and
                                                                                                              Registrar Services Limited
                                                                                                              P.O. Box 30120
                                                                                                              00100 GPO
                                                                                                              Nairobi

                                                                                                              12th March 2004

On  Thursday evening, 11th March 2004 at 4.49 p.m., Dr. Harrop called me on “my” cell phone to enquire whether I would be able to deliver him Suresh Jasraj Seth’s EABL specimen signature that evening. I told him that I wasn’t sure, but would call him later on in the evening of 11th March 2004, to give a definite position.

The Shareholder Services Manager, Barclays Advisory and Registrar Services Limited, had arranged for the original transfer deed of Suresh Jasraj Seth’s EABL shareholding, to be obtained from the Head Office of East African Breweries Limited on Thursday, 11th March 2004. The transfer deed had not reached the office of Barclays Advisory and Registrar Services Limited, by the time Dr. Harrop called me at 4.49 p.m. The Barclays Advisory and Registrar Services Clerk sent to collect the initial transfer deed of EABL shareholding to Suresh Jasraj Seth, got to the office at about 5.38 p.m. on Thursday evening, 11th March 2004. It had rained and this had caused a traffic jam on the Thika-Nairobi Highway.

The Shareholder Services Manager and myself held a brief discussion, and agreed that the most appropriate thing was to wait until the following day, Friday, 12th March 2004 before taking any action. I thereafter called Dr. Harrop by way of cell phone at 5.43 p.m. on Thursday evening, 11th March 2004, and told him that I had been able to obtain Suresh Jasraj Seth’s EABL specimen signature. I further told him that it were best if I delivered the specimen signature to him the following day, Friday, 12th March 2004 owing to the time constraint.

He was not opposed to this, but offered two suggestions. One was that we meet briefly during the day on Friday, 12th March 2004 for me to give him the specimen signature so that he could immediately arrange for a “personal courier” to deliver the “letter” from Suresh Jasraj Seth holder of EABL shares account No. XXXXXXXX, to the office of Barclays Advisory and Registrar Services Limited. This, according to Dr. Harrop, would be appropriate because of the time lapse between the e-mail enquiry indicated in my report of 8th March 2004, and the date of receipt by Barclays Advisory and Registrar Services Limited of a written letter i.e. Friday, 12th March 2004.

The other option according to Dr. Harrop, would be for me to deliver him the specimen signature of EABL shares account No. XXXXXXXX in the name of Suresh Jasraj Seth, on Friday evening, 12th March 2004, at the “usual place, usual time” i.e. The Stanley Hotel first floor lounge at 6.00 p.m. He would then arrange for a letter “from Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX”, to be delivered to Barclays Advisory and Registrar Services Limited. Dr. Harrop told me that his flight to Addis Ababa, Ethiopia, on Friday, 12th March 2004, was scheduled for “late” in the evening and a meeting between him and me at 6.00p.m. on Friday, 12th March 2004, would therefore not inconvenience him. I told Dr. Harrop I would call him on Friday morning, 12th March 2004, to let him know what would be the most appropriate time for he and me to meet.

On Friday morning, 12th March 2004, the Shareholder Services Manager, Barclays Advisory and Registrar Services Limited, handed me a photocopy of the transfer deed of EABL shares account No. XXXXXXXX in the name of Suresh Jasraj Seth, and we both agreed that I call Mr. George Otieno of Barclays Africa Security and Investigative Services (BASIS). This I did by way of land- line at about 9.18 a.m. on Friday morning, 12th March 2004.

Mr. Otieno told me to call Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit, to agree on what time was appropriate for me to deliver the specimen signature to Dr. Harrop. Mr. Otieno also told me that he would also call Mr. Kisaka, and if need be, call me back later on in the day on Friday, 12th March 2004. I again called Mr. Otieno at about 9.22 a.m. on Friday morning, 12th March 2004 by way of land-line, and gave Mr. Otieno “my” cell phone number i.e. XXXX XXXXXX.

As directed by Mr. Otieno, I then called Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit by way of cell phone at 9.25 a.m. on Friday morning, 12th March 2004. Mr. Kisaka told me to set the meeting between Dr. Harrop and I at 6.00 p.m. on Friday, 12th March 2004.

I then called Dr. Harrop by way of cell phone at 9.29 a.m on Friday, 12th March 2004, and the both of us agreed that we meet at 6.00 p.m. on Friday evening, 12th March 2004, at the first floor lounge of The Stanley Hotel.


Michael Mundia Kamau

Addendum:

In my report of 24th February 2004 I indicated that I had either spoken or met Mr. Pulin Shah and Dr. Brian Peter Harrop on roughly nine occasions between 9th January 2004 and 22nd February 2004. After my meeting with Brian at The Stanley Hotel on 8th January 2004, Mr. Shah called me at Barclays Advisory and Registrar Services Limited on Thursday, 15th January 2004 to establish my progress in identifying dormant accounts. I told him I had not been successful yet, and asked for more time. Mr. Shah was accommodative of this. He said he was in the country briefly and hoped that I would come up with something before his departure back to the United Kingdom.

On Monday, 19th January 2004, Mr. Shah called me again at Barclays Advisory and Registrar Services Limited enquiring on progress. I told that nothing “positive” had as yet come up. Mr. Shah gave me the cell phone number which I could reach him by i.e. 0721 691734. Mr. Shah had told me he was soon departing for the United Kingdom, and I therefore called him on his cell phone on Tuesday, 20th January 2004, by way of the office extension number 4112 that has been enabled to make calls to cell phones between 8.00 a.m. and 5.00 p.m. on weekdays. I asked Mr. Shah for time and told him I would contact him on the United Kingdom cell phone number 000447799484014 that he gave me on 15th December 2003, if anything came up. Mr. Shah had also given me his e-mail address on 15th December 2003 i.e. shahpulin@yahoo.co.uk . Mr. Shah did not hide his disappointment at the “slow progress”. Sometime thereafter, I tried calling the United Kingdom cell phone number  000447799484014 given to me by Mr. Shah using the office fax machine, and got the response, “the Vodafone number you have called has been switched off”.

On Thursday, 22nd January 2004, Dr. Harrop called me at the office and “did not mince his words”. Dr. Harrop told me that there were high stakes involved and if I was not able to fulfill the role already given to me, then it were better that the whole “venture” were called off at this early stage. He told me he was on transit to South Africa, where he was going to wind up the affairs of an Estate he was administering. He had hoped to show me forged South African Probate documents that very day, Thursday, 22nd January 2004, for me to assess whether they would be able to pass undetected at Barclays Advisory and Registrar Services Limited, but postponed this, I gather, because he was disappointed with my slow progress. He emphasised that time was not on “our” side. Dr. Harrop told me he would be back in the country in the week starting 8th February 2004, at which point it would either be “make or break” regarding our “venture”.

On Tuesday, 10th February 2004, Dr. Harrop called me. He said he was in the country and asked about progress. I told him I had “come” up with something. This delighted him and we both agreed to meet on Thursday evening, 12th February 2004 at 6.00 p.m. at the first floor lounge of The Stanley Hotel.

Dr. Harrop and I met at approximately 6.30 p.m. on Thursday evening, 12th February 2004 at the first floor lounge of The Stanley Hotel. It was I who was late for the meeting. I gave Dr. Harrop general descriptions of the dormant accounts “I” had identified but did not disclose specific details about them. This did not bother Dr. Harrop. His mood was casual, relaxed, friendly and less tense than it was when we spoke on 22nd January 2004. We then discussed the modalities and logistics of executing the “job” with minimum hitches. Dr. Harrop suggested that an identified shareholder with a dormant shareholding, could make an enquiry through e-mail. Barclays Advisory and Registrar Services Limited would respond by saying that we did not act on e-mail and ask the enquiring shareholder to write a formal written letter. I would then use this opportunity to obtain the specimen signature from the Head Office of East African Breweries Limited in “anticipation of an almost certain enquiry coming by way of post”. I would then smuggle the specimen signature out of the office to either him or Mr. Shah for their use in all matters related to the identified dormant account/s. The other option would be for “them” to write a letter signed off in a way that one could not determine whether the “shareholder” had signed the letter or just written his or her name, something reasonably common with “Asians and Whites”, as Dr. Harrop put it. I would then use my methods to obtain a specimen signature from the Head Office of East African Breweries Limited, and smuggle both the doctored letter and specimen signature to him or Mr. Shah.

We both felt that the e-mail option was the safer and less riskier method, and adopted it. Dr. Harrop told me that “we” first work on encashing all unpaid dividends of an identified dormant account through “due process”, and that I would “quickly get my cut on unpaid dividends”. Dr. Harrop however told me that it would take slightly longer for me to get my “cut” from the fraudulent sale of a dormant shareholding, because of the lengthy sale processes. Dr. Harrop then told me to obtain the postal addresses, sizes of the shareholdings and history of all unpaid dividends, of suitable dormant accounts I had identified, which I would pass on to Mr. Shah, who was due in the country a week from 12th February 2004. Dr. Harrop told me he would be leaving the country for the United Kingdom on the weekend of 14th/15th February 2004. Dr. Harrop was very pleased with the progress made so far.

Pulin Shah called me in the office on Wednesday, 18th February 2004 and we both agreed to meet at the Thorn Tree restaurant of The Stanley Hotel at 6.00 p.m. on Thursday evening, 19th February 2004. However Mr. Shah called me in the office around midday on 19th February 2004 to cancel our scheduled meeting of Thursday evening, 19th February 2004, “because something had come up”. Mr. Shah also told me he would be unavailable on Friday, 20th February 2004 because of other commitments, and proposed that we meet on Monday evening, 23rd February 2004. I agreed to this.

I had met Mr. George Otieno of Barclays Africa Security and Investigative Services (BASIS), and Mr. Kisaka of the Central Bank of Kenya Banking Fraud  Investigation Unit on Thursday morning, 19th February 2004 and Mr. Kisaka said he would be at the Thorn Tree restaurant of The Stanley Hotel prior to 6.00 p.m. on Thursday evening, 19th February 2004. Mr Kisaka gave me his cell phone number at the said meeting of Thursday morning, 19th February 2004.

When Mr. Shah called me to cancel our scheduled meeting of Thursday evening, 19th February 2004, I in turn called Mr. Kisaka on his cell phone to notify him of the cancellation. This I did by way of the office extension number 4112 that has been enabled to make calls to cell phones between 8.00 a.m. and 5.00 p.m. on weekdays.

The events of Monday, 23rd February 2004 are contained in my report of Tuesday, 24th February 2004.


Michael Mundia Kamau,
Friday, 12th March 2004

                       THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 10

                                                                                                       Michael Mundia Kamau
                                                                                                       C/O Barclays Advisory and
                                                                                                       Registrar Services Limited
                                                                                                       P.O. Box 30120
                                                                                                       00100 GPO
                                                                                                       Nairobi

                                                                                                       15th March 2004

I met Dr. Harrop at approximately 6.06 p.m. on Friday evening, 12th March 2004 at the first floor lounge of The Stanley Hotel. We engaged in informal discussions for about 10 minutes, before Dr. Harrop showed me copies of both the e-mail he had sent to Barclays Advisory and Registrar Services Limited and the response (see report of 8th March 2004). He also showed me three copies of a formal letter “written by Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX”. All three letters were not signed. After further brief discussions, I handed Dr. Harrop a photocopy of the transfer deed bearing the specimen signature of Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX. Dr. Harrop was clearly excited.

Dr. Harrop told me that he would deliver Suresh Jasraj Seth’s EABL specimen signature that very evening to the “expert forger” he mentioned to me on 8th January 2004, for him to insert the forged signature of Suresh Jasraj Seth, on the letters he had just shown me. Dr. Harrop appeared to have a high opinion of the unnamed “expert forger” describing him as “intelligent, well educated and professional”, as opposed to an alternative individual he only described as “a Ugandan”. It was unclear whether the unnamed “Ugandan” was in any way connected to “our” planned fraudulent transaction of Suresh Jasraj Seth’s EABL shareholding. Dr. Harrop also told me that the “expert forger” did not know me personally, as was the impression given to me by Dr. Harrop on 8th January 2004, but only gave me as a reference to Mr. Shah and Dr. Harrop. The impression Dr. Harrop gave me on Friday evening, 12th March 2004, was that a third party or third parties, gave my name as a reference to “the expert forger”, who in turn gave it to Mr. Shah and Dr. Harrop.

Dr. Harrop also told me that “the expert forger” had said that he was capable of forging share certificates, which Dr. Harrop felt we could also use for fraudulent scams. The idea in such a case would be for me to provide a sample of a share certificate for use by the “expert forger”. Thereafter, I would smuggle details of selected shareholder details out of Barclays Advisory and Registrar Services Limited, for insertion onto forged share certificates. EABL shares account number XXXXXXXX in the name of Timothy Stuart Hurst with a shareholding of 70,291 shares (see report of 27th February 2004), could be the first target of the share certificate forgery scam proposed by the “expert forger”. It would be made to appear that Timothy Stuart Hurst, holder of EABL shares account No. XXXXXXXX had decided to “sell” a part of his shareholding of 15,000 shares, to avoid raising suspicions.

Dr. Harrop told me that he was not a “crook”, and had only been forced into fraudulent activities by the effects of the global economic slump brought about by the activities of the Al-Qaeda network. According to him, the earnings from his brokerage practice had dropped significantly in the period after the attacks of September 11th 2001 on the World Trade Centre. According to Dr. Harrop, the earnings he made from commissions ranged from 10,000 Sterling Pounds per year, to 60,000 Sterling Pounds per year.

Dr. Harrop told me he has all along been expecting me to drop a bombshell on EABL shares account number XXXXXXXX, in the name of Nicholas Colin Olivier Watney (see report of 9th January 2004), and was surprised that no query regarding non-receipt of dividend had as yet been raised by the shareholder i.e. Nicholas Colin Olivier Watney.

Dr. Harrop put this down to realisation on the part of the shareholder that this may have been brought about by the shareholder’s change of postal address. Dr. Harrop appeared to have more information than was apparent on the saga surrounding EABL shares account number XXXXXXXX, in the name of Nicholas Colin Olivier Watney. For instance, Dr. Harrop was aware that Nicholas Colin Olivier Watney had a brother called Michael Christopher Watney of 24 Beulah Road, Turnbridge Wells, Kent TN1 2NR, United Kingdom, holder of EABL shares account number XXXXXXXX, with a shareholding of 77,610 shares. Dr. Harrop told be that the late mother of Nicholas Colin Olivier Watney and Michael Christopher Watney, who Dr. Harrop described as “an old Kenyan white colonial”, had bequeathed her EABL shareholding to her two sons, Nicholas Colin Olivier Watney and Michael Christopher Watney, in equal amounts of 77,610 shares each. Dr. Harrop seemed to be aware that  Nicholas Colin Olivier Watney and Michael Christopher Watney were not on talking terms, which may also have been the reason that Nicholas Colin Olivier Watney was unaware of the sale of his shares. This encouraged Dr. Harrop as it indicated that his sources “were not so bad after all”.

For the fourth time, Dr. Harrop asked me to identify a dormant shareholding account in the name of a White, either in East African Breweries Limited or B.A.T. (Kenya) Limited, which he, Dr. Harrop, could fraudulently front for. It was Dr. Harrop’s wish that I do this in time for the identified dormant shareholding account in the name of a White, to be fraudulently transacted on at the same time as EABL shares account No. XXXXXXXX, in the name of Suresh Jasraj Seth. Dr. Harrop showed me a sketch of his Diary which indicated that he was flying out of Kenya on the evening of Friday, 12th March 2004, and  would be back in Kenya in the week starting 22nd March 2004. He told me that Mr. Shah was currently in the United States of America, but would also be in Kenya in the week starting 22nd March 2004. Dr. Harrop and Mr. Shah would therefore both be in Kenya in the week starting 22nd March 2004. Dr. Harrop told me that both he and Mr. Shah would use the week starting 22nd March 2004 to prepare forgeries of documents that may be required. Hopefully, Dr. Harrop told me, I would get my first “pay off” in the first week of April 2004.

Dr. Harrop told me that he would arrange for Suresh Jasraj Seth’s “formal letter” that he showed me, to be delivered to Barclays Advisory and Registrar Services on Monday, 15th March 2004. We broke off at 7.36 p.m. on Friday evening, 12th March 2004, with Dr. Harrop rushing to meet the “expert forger”.

At 9.09 p.m. on Friday evening, 12th March 2004, I called Mr. Kisaka of the Central Bank of Kenya Banking Fraud Investigation Unit by way of cell phone, to enquire whether he had observed Dr. Harrop’s meeting with me earlier on in the evening of Friday, 12th March 2004, and Mr. Kisaka confirmed that he had.

On Monday morning, 15th March 2004, I gave the Head of Registrar Services a verbal report of the above. At 1.08 p.m. on Monday, 15th March 2004, Mr. Kisaka called me by way of cell phone for an update. The call got cut off in between and so I called Mr. Kisaka by way of cell phone at 1.09 p.m. on Monday, 15th March 2004. Mr. Kisaka told me that he had consulted with his superiors at the Central Bank of Kenya Banking Fraud Investigation Unit and would arrange for a meeting between himself, myself and Mr. George Otieno of Barclays Africa Security and Investigative Services (BASIS), to chart the way forward.


Michael Mundia Kamau

                      THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 11

                                                                                                           Michael Mundia Kamau
                                                                                                           C/O Barclays Advisory and
                                                                                                           Registrar Services Limited
                                                                                                           P.O. Box 30120
                                                                                                           00100 GPO
                                                                                                           Nairobi

                                                                                                           24th March 2004

On the 23rd of March 2004 at 9.49 a.m. Dr. Harrop sent me an SMS from his Safaricom number 0721 569296 asking whether Barclays Advisory and Registrar Services had sent a response to the letter “by” Suresh Jasraj Seth he had shown me on 12th March 2004. The exact wording of the SMS was “Hope letter went off OK? Any idea when?”

I replied by the same SMS medium from “my” Safaricom number XXXX XXXXXX telling him that Barclays Advisory and Registrar Services Limited had responded to “Suresh’s” letter and the response should be arriving in the United Kingdom in the week starting 21st March 2004.

At 9.57 a.m. on 23rd March 2004, Dr. Harrop sent another SMS of gratitude whose exacting wording was “Good. Pulin is coming thurs pm”. I took this to mean that that Pulin Shah was coming into Kenya on Thursday, 25th March 2004, tentatively, with “Suresh Jasraj Seth’s” response.

At 7.40 p.m. on 23rd March 2004, Dr. Harrop sent me a third SMS whose exact wording was “Can we meet wed or thurs 6 pm usual place? I have something to show you. Brian”.

Instead of replying by SMS, I chose to call Dr. Harrop on his Safaricom number 0721 569296 from “my” Safaricom number XXXX XXXXXX. Dr. Harrop told me there was a forged share certificate he wanted me to have a look at, as had been mentioned to me by him during the meeting he and I had on 12th March 2004. Dr. Harrop also told me that Mr. Shah would be coming into Kenya on Thursday, 25th March 2004, as had been suggested in Dr. Harrop’s SMS of 9.57 a.m., Tuesday, 23rd March 2004.

I told Dr. Harrop I would meet him at 6.00 p.m. on Thursday, 25th March 2004 at the first floor lounge of The Stanley Hotel.


Michael Mundia Kamau

                THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 12

                                                                                                          Michael Mundia Kamau
                                                                                                          C/O Barclays Advisory and
                                                                                                          Registrar Services Limited
                                                                                                          P.O. Box 30120
                                                                                                          00100 GPO
                                                                                                          Nairobi

                                                                                                          26th March 2004

I was due to meet Dr. Harrop on Thursday evening, 25th March 2004 at the first floor lounge of The Stanley Hotel. Prior to this the Head of Registrar Services telephoned George Otieno of Barclays Africa Security and Investigative Services (BASIS), in my presence, for guidance. This was about 4.45 p.m., Thursday, 25th March 2004. After the telephone conversation The Head of Registar Services gave me Mr. George Otieno’s cell phone number i.e. XXXX XXXXXX for me to contact Mr. Otieno prior to my meeting Dr. Harrop at 6.00 p.m. on 25th March 2004.

I called Mr. Otieno on his cell phone from “my” cell phone at 5.30 p.m. on Thursday evening, 25th March 2004, and Mr. Otieno told me to “flash” him just before going to meet Dr. Harrop at 6.00 p.m.

I again called Mr. Otieno at 6.08 p.m. on Thursday, 25th March 2004, to notify Mr. Otieno that I was on my way to meet Dr. Harrop.

I meet Dr. Harrop at 6.10 p.m. on Thursday evening, 25th March 2004 at the first floor lounge of The Stanley Hotel. Very limited time was spent on small talk. Dr. Harrop told me that the response to “Suresh Jasraj Seth’s” letter from Barclays Advisory and Registrar Services Limited had not as yet been received by Mr. Shah in the United Kingdom. Nevertheless, Mr. Shah would still be flying into Kenya on a flight scheduled to arrive just before midnight on Thursday, 25th March 2004. Dr. Harrop told me that Mr. Shah would be in the country for three weeks. Dr. Harrop told me that he was due in the United Kingdom on Monday, 29th March 2004 and hoped to find that the response from Barclays Advisory and Registrar Services Limited had already arrived. He would then send “Suresh Jasraj Seth’s” subsequent response to Mr. Shah in Kenya by DHL.

Barclays Advisory and Registrar Services Limited would then prepare a consolidated replacement dividend cheque in Kenya shillings in favour of Suresh Jasraj Seth and post it to the United Kingdom. Mr. Shah would use his three week stay in Kenya to arrange for the processing of forged documentation and the opening of a Bank account in the name of Suresh Jasraj Seth. Dr. Harrop hoped that “we” would all be able to get our payoffs with regard to Suresh Jasraj Seth’s unclaimed dividends, in the first week of May 2004.

Dr. Harrop was eager to conclude both transactions together i.e. the fraudulent processing of Suresh Jasraj Seth’s unclaimed dividends and the fraudulent sale of Suresh Jasraj Seth’s shareholding. Dr. Harrop therefore asked me to discreetly facilitate the posting of Suresh Jasraj Seth’s EABL share certificate No. XXXXXXXX for 15,940 shares, which was very likely lying in “Return to Sender” filing. If this wasn’t possible, then Dr. Harrop would draft an appropriate response “from” Suresh Jasraj Seth indicating that he was not in possession of his share certificate.

Dr. Harrop then showed me a blank sample of an East African Breweries Limited share certificate which he told me had been generated by the “expert forger” (see report of 15th March 2004). The forged share certificate lacked certain security features such as the watermark, but would otherwise pass as a genuine share certificate to the naked eye.

Dr. Harrop told me that if I was able to deliver Suresh Jasraj Seth’s EABL share certificate No. XXXXXXXX for 15,940 shares to “them”, then “we” would effectively be able to kill two birds with one stone i.e. quickly and fraudulently sell Suresh Jasraj Seth’s EABL share certificate No. XXXXXXXX for 15,940 shares and use the features on Suresh Jasraj Seth’s EABL share certificate No. XXXXXXXX to improve on the forged sample that he had shown me.

Something about what Dr. Harrop was telling me wasn’t falling in place however. To start with, the “expert forger” could use the source of the forged blank EABL share certificate to improve on the security features, and secondly, I recalled Mr. Shah showing me an EABL share certificate during our very first encounter in early November 2003 at the office of Barclays Advisory and Registrar Services Limited. I didn’t mention this to Dr. Harrop though.

Dr. Harrop told me that he had a pressing debt of US $ 14,084 and another less pressing need for US $ 21,116. There was therefore need for urgency.

During the meeting that Dr. Harrop and I had on Thursday evening, 25th March 2004, George Otieno of Barclays Africa Security and Investigative Services (BASIS), called me on “my” cell phone at 7.51 p.m. to ask whether Dr. Harrop and me were still together at the first floor lounge of The Stanley Hotel. I told him we were and that I would call him after 20 minutes.

Dr. Harrop and I ended our meeting at about 8.31 p.m. on Thursday evening, 25th March 2004 and walked out together towards the Hilton Hotel where he told me he puts up while in the country. Dr. Harrop told me that Mr. Shah would get in touch with me and we parted ways at 8.37 p.m.

George Otieno of Barclays Africa Security and Investigative Services (BASIS), “flashed”  me at 8.52 p.m. on Thursday, 25th March 2004 while I was on a public minibus on my way home. I sent Mr. Otieno an SMS telling him I would call him when I got home.

I called Mr. Otieno on his cell phone from “my” cell phone at 9.38 p.m. on Thursday evening, 25th March 2004. Mr. Otieno said there was a pressing need to conclude the matter. This came out in our cell phone discussion that lasted about five minutes. Mr. Otieno and I agreed that I would go meet Mr. Otieno at his office on Friday morning, 26th March 2004.


Michael Mundia Kamau

                  THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 13

                                                                                                          Michael Mundia Kamau
                                                                                                          C/O Barclays Advisory and
                                                                                                          Registrar Services Limited
                                                                                                          P.O. Box 30120
                                                                                                          00100 GPO
                                                                                                          Nairobi

                                                                                                          8th April 2004

On the 26th of March 2004 at approximately 11.15 a.m., I called Mr. George Otieno on his cell phone from "my" cell phone, and told him that I was on my way to see him. I met Mr. Otieno at his Market Branch office at approximately 11.25 a.m. on Friday, 26th March 2004. We discussed the events of the previous evening's meeting between Dr. Harrop and myself and strategised on how to conclude the matter. It was a brief meeting that lasted about ten minutes. Mr. Otieno also mentioned that a discreet way had to be devised to remove me from the operation and allow for the "fraudsters" to be apprehended. Mr. Otieno told me that he would be in touch with me.

On Wednesday morning, 7th April 2004 at about 5.30 a.m. in the morning I encountered two individuals who robbed me of US $ 30 and the cell phone that Mr. Shah gave me on 15th December 2003. I live in Komarock and was on my way to Kayole via Komarock phase III to catch early morning transport. It is a route that I have often used at that hour and therefore felt secure about it's safety. It appears that the individuals who accosted me had observed this about me over a period of time. I however convinced the two individuals to give me back my wallet which contained my National Identity Card, my voters card, my staff ID, my ATM card and other personal items.

I reported the robbery incident to the Head of Registrar Services and the Shareholder Services Manager, at about 7.55 a.m. on Wednesday morning, 7th April 2004. I then asked for time off to go and report the loss of "my" cell phone to the police and to Safaricom Limited. I obtained a police abstract from the Nairobi Central Police Station. I then went with the police abstract to the I & M Towers Retail Store of Safaricom Limited to report the loss of "my" cell phone. It was at the I & M Towers Retail Store of Safaricom Limited that I obtained Safaricom cell phone No. XXXX XXXXXX on Friday, 20th February 2004. I was asked to complete a form that is referred to by Safaricom Limited as "Application to Block Mobile Handset". This plus a fee of US $ 4, would enable Safaricom Limited to simultaneously deactivate Safaricom cell phone No. XXXX XXXXXX and activate it once again with the issuance to me of a new SIM card for the same Safaricom cell phone No. XXXX XXXXXX. I complied with their requirements and simultaneously completed Safaricom Limited "Application to Block Mobile Handset" form serial No. 008711 of 7th April 2004, and paid Safaricom Limited's processing fee of US $ 4. I was then issued with a new SIM card bearing the same Safaricom cell phone No. XXXX XXXXXX.

I also purchased a Nokia 3310 cell phone serial No. XXXXXXXXXXXXXXX similar to the one Mr. Shah gave me on 15th December 2003 from the same I & M Towers Retail Store of Safaricom Limited at a cost of US $ 103, and was issued with a Sales Receipt bearing the following details : Work Order #: 24144, Transaction #: 159598, Account #: 000059976958, Date: 4/7/04, Time: 9:17:33 AM, Cashier: 511, Register#: 2, Rep 550 and Item Lookup Code S0450005.

I called the land line Market Branch office number of Mr. George Otieno from Barclays Advisory and Registrar Services Limited land line extension No. 4125 at 12.10 p.m. on Wednesday, 7th April 2004 to notify Mr. Otieno of the theft of the cell phone given to me by Mr. Shah on 15th December 2003. I spoke to Mr. Kivuva, who told me that Mr. Otieno was in Tanzania, and was due back in Kenya on either 7th April 2004 or 8th April 2004. I however asked Mr. Kivuva to kindly pass on the message to Mr. Otieno, which he said he would.


Michael Mundia Kamau

                      THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 14

                                                                                                          Michael Mundia Kamau
                                                                                                          C/O Barclays Advisory and
                                                                                                          Registrar Services Limited
                                                                                                          P.O. Box 30120
                                                                                                          00100 GPO
                                                                                                          Nairobi

                                                                                                          18th April 2004

On Saturday, 10th April 2004 at 10.08 a.m., I called Mr. George Otieno on his cell phone from my cell phone and notified him that that I had been robbed of the cell phone that Pulin Shah gave me on 15th December 2003. Mr. Otieno said that this was understandable.

On Wednesday 14th April 2004 Pulin Shah called me on my cell phone at 12.06 p.m. He told me he was with the “forgers”, and needed me to SMS him the names of Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX to avoid them making a spelling mistake. I told him I would do this within an hours time of 12.06 p.m., Wednesday, 14th April 2004. Mr. Shah also wanted he and me to meet for a drink the following day, 15th April 2004 and said he would call me on Thursday morning, 15th April 2004 to confirm. I reported this to the Head of Registrar Services who found it odd that Mr. Shah would be making a request for the exact spelling of the names of Suresh Jasraj Seth  at this late stage. The Head of Registrar Services nevertheless told me to SMS Mr. Shah the names of Suresh Jasraj Seth.

Soon after this I called Mr. Otieno on his cell phone from my cell phone to notify him that Mr. Shah had contacted me. The line was unclear and I therefore told Mr. Otieno that I would call him later. I however sent Mr. Otieno an SMS at 12.22 p.m. on 14th April 2004 whose exact wording was “Sema George, This is Mundia Kamau of BARS. Pulin Shah has called me today 14/04/2004, and wants me & him to meet tomorrow, 15/04/2004.” At 12.29 p.m. on Wednesday, 14th April 2004, I also sent Mr. Shah an SMS whose only content was the names Suresh Jasraj Seth.

At 1.49 p.m. on 14th April 2004, I again called Mr. Otieno on his cell phone from my cell phone. He told me he had received my SMS of 12.22 p.m., Wednesday 14th April 2004 and told me he would call me when he got back to the office. He was not in his office at the time I called him at 1.49 p.m. on Wednesday, 14th April 2004

Mr. Shah did not call me as pledged on Thursday, 15th April 2004. I however called Mr. Shah at 7.58 p.m. on Thursday evening, 15th April 2004, to ask Mr. Shah why he had not called me. Mr. Shah told me that he had been busy the whole day attending to other matters at the Attorney General’s Chambers, and told me he would call me the following day, Friday, 16th April 2004.

Mr. Shah did not call me on Friday, 16th April 2004 as pledged.


Michael Mundia Kamau

                  THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 15

                                                                                                        Michael Mundia Kamau
                                                                                                        C/O Barclays Advisory and
                                                                                                        Registrar Services Limited
                                                                                                        P.O. Box 30120
                                                                                                        00100 GPO
                                                                                                        Nairobi

                                                                                                        25th April 2004

On Monday morning, 19th April 2004 I took the Head of Registrar Services my report of 18th April 2004 and he asked me if there had had been any new developments. I told him that Mr. Shah and I had not communicated since Thursday evening, 15th April 2004.

Later on in the morning, the Head of Registrar Services asked me to call Mr. George Otieno. I did this at 1.47 p.m. by calling Mr. Otieno on his cell phone from my cell phone. Mr. Otieno asked me to call him instead on his office landline i.e. XXXXXX extension XXX. I could not get through after several attempts and even called the Bank House switchboard for an alternative number and was told there wasn’t one and was advised to keep on trying as it was at times problematic to get through.

After a few other unsuccessful attempts to reach Mr. Otieno on his office land line XXXXXX extension XXX, I sent Mr. Otieno an SMS to his cell phone from my cell phone at 2.46 p.m. on Monday, 19th April 2004. The exact wording of the SMS was “George, This is Mundia Kamau of BARS. I can’t get through to you on Tel. XXXXXX

On Friday, 23rd April 2004 Dr. Harrop called me at 10.14 a.m. in the morning on my cell phone. He told me that he was calling me from London. The number Dr. Harrop was calling me from was undisclosed on my cell phone and I could therefore not note it. Dr. Harrop told me that he had arranged for “the response” of  Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX, to be delivered to the office of Barclays Advisory and Registrar Services Limited at 11.00 a.m. on Friday, 23rd April 2004 (see report of 18th April 2004 and 26th March 2004). He also apologetically told me that Mr. Shah and I had not been able to meet (again see report of 18th April 2004), because of Mr. Shah’s tight schedule. Dr. Harrop however told me that he would be in Kenya in the week of 25th April 2004 to 1st May 2004, and hoped that he and I could meet on either Wednesday, 28th April 2004 or Thursday, 29th April 2004.

Soon after I got off the phone with Dr. Harrop, I reported Dr. Harrop’s conversation with me to the Head of Registrar Services.


Michael Mundia Kamau

                          THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 16

                                                                                                       Michael Mundia Kamau
                                                                                                       C/O Barclays Advisory and
                                                                                                       Registrar Services Limited
                                                                                                       P.O. Box 30120
                                                                                                       00100 GPO
                                                                                                       Nairobi

                                                                                                       28th April 2004

On Tuesday, 27th April 2004 Dr. Harrop called me at 10.54 a.m. in the morning on my cell phone. He told me that he was calling me from London. The number Dr. Harrop was calling me from was undisclosed on my cell phone and I could therefore not note it (see report of 25th April 2004).

Dr. Harrop told me that he was displeased that I had not arranged to receive “the response” of  Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX, on Friday, 23rd April 2004 at 11.00 a.m., even though he had notified me to do so. He told me the person he had sent to deliver the documents was “interrogated” and asked several “embarrassing” questions for about five minutes. Dr. Harrop said that he detected that the the matter had raised suspicions at Barclays Advisory and Registrar Services Limited and suggested that we drop the “venture” if this was the case, repeating what he had told me on Thursday, 22nd January 2004 (see report of 12th March 2004).

Dr. Harrop suggested that I was failing in my role of keeping him and Mr. Shah constantly updated on the position at Barclays Advisory and Registrar Services Limited. He told me that this was a costly lapse that they could not afford.

I on my part apologised for the lapse of Friday, 23rd April 2004 and told Dr. Harrop I had not wanted to appear to have a direct involvement in the matter, to avoiding raising suspicions. Dr. Harrop’s call was unexpected but I nevertheless kept as best a composure as possible.

Dr. Harrop told me that he would be in Kenya in the week of 2nd May 2004 to 8th May 2004 as opposed to what he told me on Friday, 23rd April 2004 i.e. that he would be in Kenya in the week of 25th April 2004 to 1st May 2004. He concluded by emphasising that we ought to drop the “venture”, if it had raised suspicions at Barclays Advisory and Registrar Services Limited.

Dr. Harrop could certainly sense that something was “wrong” and I tried to calm him as best as possible.


Michael Mundia Kamau

                   THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 17

                                                                                                      Michael Mundia Kamau
                                                                                                      C/O Barclays Advisory and
                                                                                                      Registrar Services Limited
                                                                                                      P.O. Box 30120
                                                                                                      00100 GPO
                                                                                                      Nairobi

                                                                                                      10th May 2004

On Tuesday, 27th April 2004, the Head of Registrar Services asked me to see Mr. George Otieno first thing in the morning the following day i.e. Wednesday morning, 28th April 2004

At 8.24 a.m. on Wednesday morning, 28th April 2004, I called Mr. Otieno on his cell phone from my cell phone, to ask him whether I could come and see him, and he said yes. I then went to Mr. Otieno’s Market Branch office where he and I meet for about 45 minutes between 9.55 a.m. and 10.40 a.m. Mr. Otieno told me that Dr. Harrop and Mr. Shah could now be apprehended because of the available evidence in the form of the forged documents purportedly submitted by Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX, on Friday, 23rd April 2004. Mr. Otieno told me that I arrange for a meeting between myself and either Dr. Harrop or Mr. Shah, for either of them to explain to me how I would get my “share” of the proceeds. I told Mr. Otieno that I would do this the next time either one of them got in touch with me.

On Tuesday, 4th May 2004, Dr. Harrop called me on my cell phone at 10.30 a.m. in the morning, from the local cell phone number that he and I use to communicate i.e. 0721 569296. Dr. Harrop told me that he was in Kenya for 10 days in which time he hoped that he and I could meet. Dr. Harrop also wanted to know the status on the dividend replacement cheque for Suresh Jasraj Seth, holder of EABL shares account No. XXXXXXXX given that the documents for dividend cheque replacement had been lodged on Friday, 23rd April 2004. Dr. Harrop was concerned that the matter was dragging despite a reminder he i.e. “Suresh Jasraj Seth”, had sent by e-mail, but was yet to receive a response. Dr. Harrop told me that there was still work to be done like opening a bank account where the cheque would be deposited. I told Dr. Harrop that I would check the position and call him with an answer on Thursday, 6th May 2004. I then called Mr. Otieno on his cell phone from my cell phone, at 10.38 a.m. on Tuesday, 4th May 2004 to notify him of my discussion with Dr. Harrop. Mr. Otieno asked me to call him on his direct line i.e. XXXXXX. I did this at 10.41 a.m. on Wednesday, 4th May 2004. Mr. Otieno told me he would he would discuss the matter with the Head of Registrar Services.

I again called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125 at 3.53 p.m. on Wednesday, 5th May 2004 and he told me that he had spoken to the Head of Registrar Services. On Thursday morning, 6th May 2004 at 8.38 a.m., I called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125, to notify him that I was about to call Dr. Harrop. Mr. Otieno told me to tell Dr. Harrop that the replacement cheque for Suresh Jasraj Seth, was being processed. Mr. Otieno also reminded me to stick to the plan he and I had discussed on 28th April 2004 i.e. tell Dr. Harrop that he and I needed to meet for him to tell me how I would get my “share” of the proceeds.

I then sent Dr. Harrop an SMS on his cell phone from my cell phone at 8.40 a.m. on Thursday, 6th May 2004. The exact wording of the SMS was “Please call me”. Dr. Harrop called me on my cell phone from his cell phone at 8.46 a.m. on Thursday, 6th May 2004, and we had a discussion for five minutes, 11 seconds. I told Dr. Harrop that “Suresh Jasraj Seth’s” replacement cheque was being processed, and should be ready approximately two weeks from 6th May 2004. Dr. Harrop told me that the Head of Registrar Services had replied to “Suresh Jasraj Seth’s” e-mail. Dr. Harrop also told me that Mr. Shah would be flying into the country on Monday night, 10th May 2004 and that he and Mr. Shah would be having dinner on Tuesday night, 11th May 2004. I told Dr. Harrop that he and I needed to meet for him to tell me how I would get my “share” of the proceeds. Dr. Harrop told me he didn’t have a problem with this, and suggested that we meet on Monday evening, 10th May 2004. After Dr. Harrop and I concluded our discussion, I called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4118 at 9.06 a.m. on Thursday, 6th May 2004, to notify him.

Dr. Harrop called me again at 2.23 p.m. on Thursday, 6th May 2004 to suggest that we meet briefly in the evening on 6th May 2004, for him to show me the “chart” on how the proceeds from the replacement dividend cheque of Suresh Jasraj Seth would be divided. Dr. Harrop also told me he wanted to show me some other unspecified documents. I told Dr. Harrop that his notice was too short and told him that we stick to our initial appointment of Monday, 10th May 2004. Dr. Harrop accepted this.

I then tried calling Mr. Otieno at 2.28 p.m. on Thursday, 6th May 2004 to notify him of Brian’s call of 2.23 p.m., Thursday, 6th May 2004, but could not get through. I therefore sent Mr. Otieno an SMS at 2.44 p.m. on Thursday, 6th May 2004, whose exact wording was “George, This is Mundia Kamau. Brian called me this afternoon 06/05/2004 at 2.23 p.m. & suggested that we briefly meet this evening 06/05/2004 for him to show me some documents. I told him I had a tight schedule & that we stick to our planned meeting of Monday, 10/05/2004.”

I called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125 at 4.07 p.m. on Thursday, 6th May 2004 to ask him whether he got my SMS, and he said that he had. Mr. Otieno further told me that he was in meeting and would call me back.

Mr. Otieno did not call me back, so I again called him on his direct line from Barclays Advisory and Registrar Services extension 4125 at 8.40 a.m. on Friday, 7th May 2004. Mr. Otieno told me that I should stick to my original appointment with Dr. Harrop of Monday evening, 10th May 2004.

On Monday morning, 10th May 2004 at 9.40 a.m., I sent Dr. Harrop an SMS, whose exact wording was “This evening ? Same place, same time ?” i.e. Do we meet this evening, 10th May 2004, at 6.00 p.m. at the first floor lounge of The Stanley Hotel ? Dr. Harrop replied by SMS at 9.42 a.m., Monday 10th May 2004, with the message “Yep, See you 6’ish.”

I then called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4118 at 9.50 a.m. on Monday, 10th May 2004, to notify him.


Michael Mundia Kamau

                     THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 18

                                                                                                        Michael Mundia Kamau
                                                                                                        C/O Barclays Advisory and
                                                                                                        Registrar Services Limited
                                                                                                        P.O. Box 30120
                                                                                                        00100 GPO
                                                                                                        Nairobi

                                                                                                        11th May 2004

On Monday, 10th May 2004 at 5.14 p.m., I called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125, to remind him that I was still scheduled to meet Dr. Harrop at 6.00 p.m. that evening at The Exchange Bar of The Stanley Hotel (first floor lounge of The Stanley Hotel).

Mr. Otieno called me on my cell phone from his cell phone at 5.25 p.m. on Monday, 10th May 2004, and asked me to get in touch with a Mr. Nganga of the Central Bank of Kenya Banking Fraud Investigation Unit on cell phone No. XXXX XXXXXX regarding my meeting with Dr. Harrop at 6.00 p.m. on Monday, 10th May 2004. I called Mr. Nganga at 5.36 p.m., 10th May 2004 on his cell phone No. XXXX XXXXXX, from Barclays Advisory and Registrar Services direct line No. 337569 to brief Mr. Nganga of my appearance. Mr. Nganga said he knew how I looked physically and there was therefore no need for me to give him a description of how I looked or what I would be wearing. Mr. Nganga however told me that he would be discreetly positioned during Dr. Harrop’s meeting with me at 6.00 p.m. on Monday, 10th May 2004.

I arrived at The Exchange Bar of The Stanley Hotel (first floor lounge of The Stanley Hotel) at about 6.10 p.m. on Monday, 10th May 2004 and found Dr. Harrop had not arrived. I took a seat and sent Dr. Harrop an SMS asking him whether he was on his way. He replied immediately by SMS, saying that he was on his way. At 6.13 p.m. on Monday, 10th May 2004 while waiting for Dr. Harrop at The Stanley’s Exchange Bar, Mr. Nganga sent me an SMS which read “I can see you”. Dr. Harrop arrived at about 6.20 p.m., and immediately got round to “business”. He showed me the latest letter “from” Suresh Jasraj Seth a paragraph of which suggested that Suresh Jasraj Seth was not in possession of his EABL share certificate, and hoped that this would prompt a reply accompanied with a share certificate retrieved from “Return to Sender” filing. Dr. Harrop was eager to conclude sale of the shareholding as quickly as possible.

As agreed by Mr. Otieno and myself, I also raised the issue of “my share” of the proceeds with Dr. Harrop. Dr. Harrop told me that the processing of “Suresh Jasraj Seth’s” replacement dividend cheques amounting to slightly over US $ 14,000, would possibly not require the services of the unnamed Kenya Commercial Bank Limited bank manager in Mombasa (see report of 9th January 2004), because Dr. Harrop had already processed a fake Kenyan passport in the name of Suresh Jasraj Seth, bearing Mr. Shah’s photograph. Dr. Harrop showed me the said forged passport. Dr. Harrop further told me that the unnamed Kenya Commercial Bank Limited bank manager in Mombasa had in any case been transferred to the Garissa Branch of Kenya Commercial Bank Limited and would only be approached if entirely necessary. According to Dr. Harrop, Mr. Shah had another available unnamed contact in Kenya Commercial Bank Limited on standby, anyway. This therefore meant that the proceeds from Suresh Jasraj Seth’s unclaimed dividend cheques would be split between Dr. Harrrop, Mr. Shah, the unnamed “expert forger”, and myself, with each of us getting slightly over US $ 3,500 each. A bank account however needed to be opened where the proceeds from the unclaimed dividend cheques would be deposited. Dr. Harrop told me that either he or Mr. Shah, would give me my share of slightly over US $ 3,500 in cash (slightly over 250,000 Kenya Shillings in cash).

I told Dr. Harrop that I was uncomfortable with this new arrangement, and much preferred if a bank account were opened for me as twice promised by Mr. Shah on 25th February 2004 and 15th December 2003 (see reports of 26th February 2004 and 9th January 2004, respectively). Dr. Harrop said he would discuss this with Mr. Shah. Dr. Harrop further told me that this particular issue should not concern me as Mr. Shah had good connections in Kenyan banks owned and run by Asians. In between Dr. Harrop’s meeting with me, Mr. Otieno called me on my cell phone from his cell phone to establish the status of the meeting and I affirmed that it was ongoing.

Dr. Harrop gave me conflicting times of Mr. Shah’s arrival in the country i.e. he mentioned Mr. Shah arriving in the country on a Kenya Airways flight at 6.00 a.m. on Tuesday, 11th May 2004 and separately mentioned Mr. Shah arriving on a late night Kenya Airways flight on Monday, 10th May 2004. Dr. Harrop told me that he would himself be possibly leaving for South Africa on Wednesday, 12th May 2004 and be back in the United Kingdom in the week beginning 16th May 2004. He hoped to have found that Suresh Jasraj Seth’s replacement dividend cheque had arrived in the United Kingdom by the time he arrived back in the United Kingdom in the week beginning 16th May 2004. Dr. Harrop would then send the replacement dividend cheque to Mr. Shah in Kenya, for him to deposit in an already opened bank account.

Dr. Harrop and I broke off at 8.48 p.m. outside the entrance of Nairobi’s Hilton Hotel. I then walked to Njugima restaurant near Nairobi’s Ambassadeur Hotel, and sent Mr. Otieno the following SMS from there at 9.11 p.m. : “Pulin is supposed to be flying in either late tonight, 10/05/04 or early tomorrow morning 11/05/04 on a Kenya Airways flight. Brian was not clear. Brian however said he would go to pick up Pulin. Brian is staying at the Hilton. We broke off at 8.48 p.m. and he has Pulin’s forged passport in his briefcase. There was no mention of a dinner between Brian & Pulin tomorrow evening, 11/05/04.” Soon after this Mr. Otieno called me on my cell phone from his cell phone at 9.15 p.m. on Monday, 10th May 2004. Mr. Otieno said he had received my SMS of 9.11 p.m., Monday, 10th May 2004. The conversation was brief and lasted 53 seconds.

After a meal at Njugima restaurant, I caught a public minibus home. While at home, I sent Mr. Otieno another SMS at 10.19 p.m. on Monday, 10th May 2004, whose exact wording was “George, If Pulin is arriving tomorrow morning, 11/05/04, then Brian mentioned a 6.00 a.m. flight”

On Tuesday morning, 11th May 2004 at 8.45 a.m., Mr. Otieno called me in the office and asked whether anything new had come up. Mr. Otieno suggested that I get in touch with Mr. Shah at 10.00 a.m. on Tuesday morning, 11th May 2004 and set up a meeting with him regarding “my” share of the proceeds. I did this at 10.02 a.m. on Tuesday morning by sending Mr. Shah an SMS whose exact wording was “How’s it going ? Did you have a good flight ? Call me”. Mr. Shah called me thereafter at 10.04 a.m. on my cell phone, from his cell phone. Mr. Shah confirmed that he was back in the country, but the call got cut off soon after it began. I then called Mr. Shah on his cell phone at 10.11 a.m., 11th May 2004 from Barclays Advisory and Registar Services extension 4112 that has been enabled to make calls to cell phones between 8.00 a.m. and 5.00 p.m. on weekdays. We also got cut off soon after my call, though Mr. Shah managed to tell me that he and Dr. Harrop had discussed “my” mode of payment concern of the previous evening, 10th May 2004. Mr. Shah also managed to tell me not to worry and that we should meet on Wednesday, 12th May 2004, before we got cut off.

I then called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125 at 10.13 a.m. on Tuesday, 11th May 2004 to tell him of my discussion with Mr. Shah of 10.11 a.m., Tuesday, 11th May 2004. Mr. Otieno told me to keep him closely posted. After I spoke to Mr. Otieno, I checked my cell phone and found a message from Mr. Shah sent at 10.12 a.m. on Tuesday, 11th May 2004, whose exact wording was “Lets call each other tomorrow 2 set up time 2 meet.”


Michael Mundia Kamau

                   THE NICHOLAS COLIN OLIVIER WATNEY FRAUD CASE : REPORT NO. 19

                                                                                                          Michael Mundia Kamau
                                                                                                          C/O Barclays Advisory and
                                                                                                          Registrar Services Limited
                                                                                                          P.O. Box 30120
                                                                                                          00100 GPO
                                                                                                          Nairobi

                                                                                                          13th May 2004

On Tuesday evening, 11th May 2004, I had the following SMS dialogue with Dr. Harrop, initiated by myself :

M.M. Kamau, 8.20 p.m.: “How’s it going ?”

Dr. Harrop, 8.24 p.m.: “Pulin arrived OK. No progress
                               on accounts today as he is
                               tired – no hurry anyway until
                               div chq arrives UK.”

M.M. Kamau, 8.31 p.m.: “I actually spoke to Pulin
                                 this morning and he said we
                                 could get together for a
                                 drink tomorrow evening”

Dr. Harrop, 8.34 p.m.:  “Fine. He didn’t tell me but
                                I haven’t seen him since 10
                                a.m.”

M.M. Kamau, 8.36 p.m.: “Good Night then Brian. We’ll
                                  be in touch”

On Wednesday morning, 12th May 2004 at 10.20 a.m., I sent Mr. Shah the following SMS: “Good Morning Pulin - Tell me”.

Mr. Shah did not respond, so at 12.05 p.m., Wednesday, 12th May 2004, I sent Mr. Shah another SMS whose exact wording was  “Hi Pulin, Did you get my text earlier this morning ? Please call me”.

Mr. Shah called me at 12.20 p.m. on Wednesday, 12th May 2004 and told me that he had received both my text messages, and suggested that we meet at The Norfolk Hotel at 6.30 p.m. on Wednesday, 12th May 2004. I agreed to this in a brief conversation that lasted 66 seconds.

I then tried calling Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125 at 12.26 p.m. on Wednesday, 12th May 2004, but his line went unanswered. I therefore sent Mr. Otieno an SMS at 12.35 p.m. on Wednesday, 12th May 2004, whose exact wording was “George, This is Mundia Kamau. Pulin called and said that he and I meet at The Norfolk Hotel this evening 12/05/04 at 6.30 p.m. Niko ofisini(I’m in the office) - please call me”.

At 3.25 p.m. on Wednesday, 12th May 2004, I called Mr. Otieno on his cell phone from Barclays Advisory and Registar Services extension 4112 that has been enabled to make calls to cell phones between 8.00 a.m. and 5.00 p.m. on weekdays. Mr. Otieno told me that he received my above SMS of 12.35 p.m., 12th May 2004. Mr. Otieno further told me that he was away from his office, and asked me to call him on his land line after 15 minutes. I called Mr. Otieno on his direct line from Barclays Advisory and Registrar Services extension 4125 at 4.29 p.m. on Wednesday, 12th May 2004, and Mr. Otieno asked me to proceed to meet Mr. Shah as agreed at 6.30 p.m. on Wednesday evening, 12th May 2004.

At 6.09 p.m. on Wednesday, 12th May 2004, I sent Mr. Otieno an SMS whose exact wording was “I’m on my way to The Norfolk”. I sent exactly the same SMS to Mr. Shah at 6.10 p.m. on Wednesday, 12th May 2004. I then proceeded on foot to The Norfolk Hotel from the Moi Avenue Bank House office of Barclays Advisory and Registrar Services Limited. I did not note the time of my arrival at The Norfolk Hotel, but estimate it at about 6.25 p.m., Wednesday, 12th May 2004.

I found both Dr. Harrop and Mr. Shah waiting for me, and the three of us got into informal discussions. Mr. Shah told me he would arrange for me to open an account with the Westlands Branch of Paramount Bank on Monday, 17th May 2004, where I would deposit “my share” of slightly over US $ 3,500 from the unclaimed dividend cheques of Suresh Jasraj Seth. Mr. Shah told me that all I needed was two passport size photographs of myself. Dr. Harrop and Mr. Shah then both pointed out that I could start on identifying another dormant EABL shares account, with a preferable value of between US $ 845,000 and US $ 985,915. Dr. Harrop and Mr. Shah even suggested that “we” could target EABL share account No. XXXXXXXX in the name of Timothy Stuart Hurst with a shareholding of 70,291 shares (see report of 27th February 2004), whose shareholding value as at the date of this report was US $ 420,755. This particular job according to Dr. Harrop and Mr. Shah, would however need to be quickly concluded in a period of five months.

Mr. Otieno called me at 6.40 p.m. during the meeting between Dr. Harrop, Mr. Shah and myself, and I affirmed to him that it was ongoing. There was a misunderstanding that was not apparent at the time Mr. Otieno called me at 6.40 p.m. on Wednesday, 12th May 2004, as Mr. Otieno and the team of officers from the Central Bank of Kenya Banking Fraud Investigation Unit, had positioned themselves at The Stanley Hotel, instead of The Norfolk Hotel. At about 7.38 p.m. on Wednesday, 12th May 2004, in the middle of discussions between Dr. Harrop, Mr. Shah and myself, I sent Mr. Otieno the following SMS: “My battery is low but I’m here with both guys. Send an SMS. Advice”. Unfortunately, the battery of my mobile was low and it had even gone of just before I sent Mr. Otieno my SMS of 7.38 p.m., Wednesday, 12th May 2004. I even noted a missed call from Mr. Otieno at 7.15 p.m., 12th May 2004.

I excused myself from the table where Dr. Harrop, Mr. Shah and myself were meeting to go to the washroom. This was at about 7.40 p.m. on Wednesday, 12th May 2004. At 7.43 p.m., Wednesday, 12th May 2004, I called Mr. Otieno from the gentlemen’s washroom of The Norfolk Hotel and asked him whether he could see us. He told me they had searched The Stanley Hotel for us, but could not locate us. It was then that I notified him that we were at The Norfolk Hotel. I went back to the table where Dr. Harrop, Mr. Shah and myself were meeting, and were joined by a fourth gentleman introduced as Harun. The mood was lively and Dr. Harrop and Mr. Shah’s attention was now diverted to Harun. I took advantage of this to send Mr. Otieno an SMS at 7.54 p.m., Wednesday, 12th May 2004, whose exact wording was “Can you see us?”

Soon after this, the four of us i.e. Dr. Harrop, Mr. Shah, Harun and myself were apprehended by officers from the Central Bank of Kenya Banking Fraud Investigation Unit and taken to the nearby Central Police Station. After a questioning and a search, Mr. Otieno asked that I be allowed to leave with him so that he could go and search for clues and evidence at my house in Komarock. Mr. Otieno dropped me near the Kencom Bus Stop at 8.59 p.m. on Wednesday, 12th May 2004.


Michael Mundia Kamau