Detectives from the Directorate of Criminal Investigations (DCI) are investigating an incident where Sh1 billion has been making rounds across several bank accounts.
The funds donated by French donors for development in Kisumu through the Kisumu Urban Project (KUP) have been making rounds between KUP and National Treasury accounts.
Detectives are now suspecting money laundering after the cash was allegedly sent to the wrong account, then to the Treasury and then back to KUP accounts.
Consequently, it landed at KUP's accounts at the Diamond Trust Bank and Kenya Commercial Bank at different times, which detectives find suspicious.
The detectives have since stopped all payments under KUP pending conclusion of the probe
The projects administrator Charles Omollo said that the projects are authentic adding that KUP is not involved in any sort of wrongdoings.
‘’Some are complete, others are ongoing. We have no hidden treasures. We will take them (DCI) round to see,’’ he was quoted by the Sunday Standard.
KUP's top leadership has also recorded statements with the police with regards to the same.