An American national, Philip William Knight, was arraigned before a Nairobi court over claims of defrauding a fellow American investor, Casey Drew Cain, of a colossal sum of USD $357,300 (approximately KSh 46,091,700).
The charges stem from allegations that Knight deceived Cain by promising to invest the funds in gold exports to Dubai and a World Food Programme (WFP) project, neither of which materialized.
Knight, who owns two companiesSunshine Minerals Canada Limited (SMCL) and Hallo Global Project Management Limited denied the charges before Milimani Chief Magistrate Lucas Onyina.
He was accused of defrauding Cain by promising substantial returns from investments in projects, including gold exports and a women empowerment program under the WFP initiative.
According to the Director of Public Prosecutions (DPP), Renson Ingonga, through prosecuting counsel Ms. Joyce Olajo, Knight lured Cain into these fraudulent schemes between September and October 2024.
The court was informed that despite Knight’s assurances of lucrative returns, he failed to deliver on any of the agreed projects.
Ms. Olajo outlined how the fraud unfolded. On September 27, 2024, Knight convinced Cain to invest USD $25,000 for the gold export project. Knight acknowledged receiving the funds through a signed note.
A week later, on October 3, 2024, Knight introduced Cain to another investment opportunity a charitable project aimed at empowering women in Kenya under the banner of the WFP. Knight requested an additional USD $16,300 from Cain for the project, which he claimed would yield billions in profits.
Further, Knight allegedly persuaded Cain to fund the project and gold trade by contributing USD $525,000.
The two signed a deposit collaboration agreement (DCA), and on October 10, 2024, Knight and Cain entered into a formal contract for the WFP project. Cain’s long-time partner, Dr. William B. Woodward, transferred USD $281,000 to finance the initiative.
Knight then asked for another USD $35,000 to cover administrative costs, which Cain also paid. In total, Cain had handed over USD $357,300 (KSh 46,091,700) for these unfulfilled projects.
However, none of the promised ventures came to fruition, and Cain’s attempts to follow up were met with evasions from Knight.
The prosecution argued for Knight’s detention to allow police to complete their investigations, including obtaining critical statements from Dr. Woodward, bank records from Wells Fargo, and forensic analysis of Knight’s cellphones.
Ms. Olajo requested that Knight be remanded for ten days and denied bond, citing him as a potential flight risk.
Knight, however, strongly denied the accusations of being a flight risk, explaining that he is a resident of Nairobi, married to a Kenyan woman, and has three children.
He presented his marriage certificate and appealed for bond, arguing that his family ties in Kenya made fleeing impossible.
“Your honor, my wife is in court, and my brothers-in-law are here to testify that I cannot run away from my family,” Knight stated.
Despite his claims, the court remanded Knight in custody, granting the police time to finalize their investigations and witness statements.
He will remain at Kilimani Police Station pending the completion of the inquiry.
