A Nairobi court has allowed police to detain a software developer for five days over allegations of conspiring to defraud NCBA Bank of Sh57.5 million through a system manipulation scheme targeting its Rwanda operations.

Milimani magistrate Benmark Ekhubi granted the request by the Banking Fraud Investigation Unit (BFIU) to hold Evans Nandwa as investigations continue into claims that he tampered with NCBA’s mobile banking system while contracted to maintain and upgrade its Rwanda subsidiary platform.

The bank operates the platform in partnership with MTN Rwanda.

The court heard that Nandwa, together with accomplices still at large, allegedly adjusted the bank’s system to approve cash withdrawals through the MTN network even when accounts were non-existent or lacked sufficient funds.

As a result, 70 customers reportedly made 260 transactions, leading to the loss of $445,000 (about Sh57.5 million) between June 6 and 14.

BFIU investigator Amos Ndonyi told the court that Nandwa was still in possession of sensitive materials, including access logs, remote server credentials, and system passwords, raising concerns he could interfere with witnesses or tamper with crucial digital evidence.

“Due to the seriousness of the offence, preliminary investigations have established that he is working in cahoots with other persons and is likely to collude with the said accomplices resulting in further loss,” said Ndonyi.

He further warned of a risk of continued loss to the bank and said the matter was complex, requiring more time to finalise investigations. “This is a complex investigation, and the investigator needs more time to finalise investigations hence request this court to allow him to detain the respondent for ten (10) days at Capitol Hill Police Station to allow completion of investigations,” he added.

However, the magistrate only granted five days. The case will be mentioned on June 24.