The High Court of Kenya has frozen an additional Sh400.6 million belonging to Nigeria’s fintech Flutterwave after they were linked to card fraud and money laundering.
The money which was held in two accounts at UBA Bank, one account at Access Bank and 19 M-Pesa paybills was frozen after the Assets Recovery Agency applied to block the transfer or withdrawal, pending the filing of a petition to have the money forfeited to the government.
According to ARA the bank accounts received millions of shillings whose source is suspected to be money laundering and card fraud.
Justice Grace Nzioka has now barred the companies from withdrawing, transferring or dealing with the money, as a probe by the Asset Recovery Authority is pending.
“A preservation order be and is hereby issued prohibiting 1st respondent or his agents or representative from transacting, withdrawing, transferring, using any other dealings in respect to the money held in the account,” ruled Justice Nzioka.
The amounts frozen include Sh110 million in UBA account, another US $ 556,622 (Sh66.7 million), Sh29.1 million in Access Bank and Sh68 million, Sh112 million and Sh14.5 million in a total of 19 Safaricom Paybill numbers.
The moves comes after Sh7 Billion ($59 million), from 56 accounts of the company were frozen 2 months ago following allegations that they were being used for money laundering.
Although the company, in a statement which is dated the 7th of June denied involvement in any financial improprieties, stating that it earns its fees through a transaction charge, records of which are available and can be verified. The High court still granted the order freezing three Flutterwave accounts .
Launched in 2016 as a Nigerian and US-based payments company, with offices in Lagos and San Francisco, Flutterwave was co-founded by Agboola, Adekoya, and Aboyeji, who had earlier co-founded Andela and the company had grown to become a beacon of success in the African tech ecosystem.