Renowned car dealer Joseph Kairu Wambui, popularly known as Khalif Kairo, has pleaded not guilty to fraud charges related to allegations of failing to deliver vehicles to clients after receiving payments through his company.
Kairo faces two counts of cheating, contrary to Section 315 of the Penal Code.
In one case, Kairo is accused of deceiving Dona Ayalo Okoth into transferring Ksh 2,984,998 to the Kai and Karo Limited bank account under the pretense of purchasing a Subaru Outback. The payments were allegedly received on July 29, 2024, at an undisclosed location in Kenya.
In another case, Kairo is accused of receiving Ksh 2,145,150 from Jeff Kyule for the importation of a Honda Vezel from Japan. The payments were reportedly made between July 10 and 29, 2024, in Westlands, Nairobi. The prosecution alleges that Kairo failed to deliver the vehicle.
Appearing before Chief Magistrate Lucas Onyina, Kairo denied the charges. His legal team, led by Danstan Omari, claimed the allegations were orchestrated by jealous business rivals upset over Kairo’s growing dominance in the auto industry.
“Kairo has been in the car business for 10 years. The issues started after he became an online sensation, threatening the market share of old players in the industry,” Omari argued.
Omari further stated that Kairo’s company sold over 300 vehicles last year, generating a turnover exceeding Ksh 1 billion. He emphasized that the business employs 28 permanent staff and hundreds on commission, who could lose their jobs if Kairo is denied bail.
DCI officer Esther Mburu opposed granting bail, citing concerns about Kairo’s reliability in attending court proceedings.
Mburu filed an affidavit stating that Kairo went into hiding after the cases were reported, making it difficult for investigators to locate him.
“It took us a month to trace the accused after he disappeared. We fear he may abscond court if released on bail,” Mburu said in her affidavit.
However, lawyer Cliff Ombeta dismissed the claim, arguing that the charge sheet shows the case was reported on January 11, 2025, and Kairo was arrested on the same day.
“The timeline provided by the police cannot amount to a month,” Ombeta countered.
Chief Magistrate Onyina ordered Kairo to remain in custody at the Capitol Hill police station until January 14, 2025, when a ruling on his bail application will be delivered.
The case has sparked public interest due to Kairo’s prominence in the automotive industry and the significant financial implications for his business and employees.
