A Nairobi court has released city lawyer Alphonce Collins Odoyo Osewe, who is charged in a Sh61.7 million fake gold fraud case, on a Sh1 million bond or an alternative cash bail of Sh300,000.
Milimani Chief Magistrate Gethi Kibiru on August 6,2026 allowed Osewe’s release after finding that the prosecution had failed to establish compelling reasons to deny him bail as required under the Constitution.
Osewe is facing charges arising from two alleged fake gold transactions in which foreign investors are said to have lost more than Sh35.7 million and a further Sh26 million.
In the case he charged alongside o-accused Patroba Odhiambo Tobias alias Ishmael who have pleaded not guilty to several counts, including obtaining money by false pretences, acquisition of proceeds of crime and use of proceeds of crime under the Proceeds of Crime and Anti-Money Laundering Act.
According to the charge sheet, the two are accused of obtaining USD 260,400 (equivalent to Sh35,737,296) from complainant Bernard Shiaunda Aete between May 1 and May 9, 2023, by falsely claiming they were in a position to sell him 400 kilograms of gold bars.
Osewe also faces a separate count of allegedly obtaining Sh26.1 million from another complainant, Adeyeye Enitan Ogunwusi, by falsely representing that he could supply the same quantity of gold.
The Director of Public Prosecutions (DPP) had opposed his release, arguing that the advocate was a flight risk after allegedly failing to attend court for nearly one year despite having been released on police cash bail.
However, while delivering the ruling on Thursday, Magistrate Kibiru found that court records showed Osewe’s absence had consistently been explained by his advocates, who informed the court that he had travelled to India for specialised medical treatment.
“The court record shows that on almost all occasions that the matter was before court, the first accused person was represented by an advocate who explained to the court the whereabouts of the first accused person,” Kibiru ruled.
The magistrate noted that the defence had presented medical records and travel documents to support the explanation and that the court had directed the prosecution to verify the documents.
“The first accused person availed medical and travel documents to court which this court directed the prosecution to verify. Despite the court ordering, now over three months since that order was issued, that an investigation report be filed by the investigating officer, that has never been done,” the magistrate said.
Kibiru further observed that although warrants of arrest had later been issued against Osewe, the explanations provided by his lawyers had never been disproved.
“What seems to have happened is that warrants of arrest were later issued without the court addressing the explanations given by counsel for the first accused person on the reasons for his absence,” the court ruled.
The magistrate held that although the medical and travel documents were yet to be verified, they constituted partial evidence supporting Osewe’s explanation that he had been outside the country for treatment.
“Having considered the court record and the fact that the first accused person’s absence was always explained to the court, the medical and travel documents availed by the first accused, though yet to be verified, are partial evidence of the first accused’s whereabouts,” Kibiru ruled.
He concluded that the prosecution had failed to discharge its burden of proving compelling reasons to justify denying Osewe bail.
“The court is consequently not persuaded that the prosecution has established compelling reasons sufficient to deny the first accused his constitutional right to bail,” the magistrate ruled.
The court ordered that Osewe be released upon executing a Sh1 million bond with one surety of a similar amount or, in the alternative, depositing a cash bail of Sh300,000.
As part of the bail terms, Osewe was directed to continue receiving medical treatment, attend all court hearings unless formally excused, and promptly notify the court through his advocates if illness prevents his attendance while providing supporting medical documents.
The magistrate warned that failure to attend court without lawful excuse could result in cancellation of the bond and the issuance of warrants of arrest.
The case will be mentioned after 14 days for pre-trial hearing.
