NTSA on the spot over alleged logbook and car fraud
The National Transport and Safety Authority (NTSA) is in the eye of a storm over an alleged logbook and car fraud scheme involving an insurance agent and her husband.
In a legal dispute that is ongoing at both the criminal and civil courts in Milimani, Nairobi, the agency is on the spot for allegedly abetting fraud through its online transaction system.
The alleged scam saw Mr Joseph Kipkurui Towett, lose his car to the insurance agent four years ago, leading to court battles that also entangled a microfinance bank. The agent, Ms Dorcas Ayoo Oloo, and her husband Perminus Gwaro, are jointly fighting criminal charges related to fraud and forgery of a logbook and purporting to be the owner of the car.
Ms Oloo is separately facing charges of uttering a false document with the intent to defraud and obtaining a Sh400,000 loan from Milhan Access Capital Ltd using a forged logbook.
Phone number change
Court papers indicate that the fraud started in November 2017 with a change of Mr Towett’s mobile phone number on the NTSA’s Transport Integrated Management System (Tims).
The contact was allegedly substituted with that of Mr Gwaro, while the ownership was registered in Ms Oloo’s name, and Mr Towett was indicated as the previous owner. The alteration of the contact details effectively locked him out of getting any update on transactions concerning the vehicle. He had given his vehicle documents to Ms Oloo to renew the insurance cover. The logbook was registered in Ms Oloo’s name on November 24, 2017. She applied for a Sh400,000 loan at Milhan Access Capital Ltd using the logbook but defaulted in repayment.
Mr Towett learnt about the alleged fraud in March 2018 after auctioneers confronted him and impounded his car in Nairobi city centre, intending to repossess it because of the defaulted loan.
Alarmed
Mr Towett became alarmed because he had neither borrowed money from the microfinance institution, nor had he guaranteed anyone using the car’s logbook.
Upon checking the NTSA system, Mr Towett discovered that he was no longer the registered owner of the vehicle as the logbook was in Ms Oloo’s name. The logbook was later registered in the name of the microfinance bank, court papers indicate.
His lawyers, S K Oloo & Co Advocates said he drove the car to Central Police Station, reported the fraudulent transfer and started the legal proceedings. The advocates added that there is no sale agreement or transfer documents duly executed by Mr Towett permitting the transfer of the motor vehicle.
In court papers, Mr Towett says he came to know Ms Oloo and her husband when she was his insurance agent through her Deebless Agency which insured his two vehicles. Their business relationship grew to an extent that he developed trust in her and her spouse and started doing business with them. Being a farmer, he said, he used to supply the couple with maize.
In an effort to resolve the dispute, he said, he called the couple and informed them about the fraud. Mr Gwaro then accompanied him to the microfinance bank’s office where he was made to execute two letters as well as “a purported guarantee for the repayment of the loan within two months”. But the couple negated the promise to pay the loan.
“As further proof of the fraud perpetrated against Mr Towett, they (Oloo and Gwaro) sold his other motor vehicle … which he had delivered to Oloo to perform car hire services. The vehicle was sold directly to one Peter Kimara and registered in the name of the said Mr Kimara on May 22, 2017,” reads the submissions.
Mr Kimara was eventually paid back his Sh800,000 by Mr Gwaro. BY DAILY NATION

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