MKU Student Charged with Hacking Sidian Bank in KSh7.8 Million Cyber Theft Scandal
MT Kenya University Student, Collins Mutuma in Milimani Court
A 20-year-old student from Mount Kenya University has been charged in connection with cybercrime involving the theft of over KSh7.8 million from Sidian Bank accounts. The case, which has attracted national attention, underscores the growing threat of financial cybercrimes targeting Kenyan banks.
Details of the Case
The accused, Collins Mutuma, a Bachelor of Education (Science) student, appeared before Chief Magistrate Lucas Onyina at the Milimani Law Courts on Monday, October 27, 2025. Prosecutors allege that Mutuma, in collaboration with unidentified accomplices, hacked into Sidian Bank’s systems and unlawfully transferred funds into his Diamond Trust Bank (DTB) account.
According to the charge sheet, the cyber theft occurred on January 11, 2025, at an undisclosed location in Kenya. Investigators claim that the stolen KSh7,882,845 was moved from multiple Sidian Bank customer accounts into Mutuma’s DTB account. From there, the funds were allegedly dispersed to other individuals to obscure their origins — a common tactic in money-laundering schemes.
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MKU Student Charged with Hacking Sidian Bank in KSh7.8 Million Cyber Theft Scandal
Prosecutors described the incident as a deliberate and well-coordinated cyberattack targeting the bank’s internal systems and customer deposits. One of the affected accounts reportedly belonged to Peninah Karoki, who lost KSh471,302 in the fraudulent transfers.
Charges Filed
Mutuma faces three criminal charges:
- Conspiracy to defraud, contrary to section 317 of the Penal Code.
- Stealing, contrary to section 268(1) as read with section 275.
- Acquisition of proceeds of crime, under section 4(a) of the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA).
Prosecutors told the court that Mutuma’s actions were aimed at disguising the illicit origin of the funds and that the transactions formed part of a larger financial crime network still under investigation.
Court Proceedings
When arraigned, Mutuma appeared composed and pleaded not guilty to all charges. His defence team argued that he was being unfairly linked to an advanced cybercrime operation beyond his technical capabilities. They maintained that investigators had yet to produce concrete evidence connecting him directly to the breach.
Chief Magistrate Onyina granted the accused cash bail of KSh200,000 with one contact person and set the pre-trial hearing for November 3, 2025. The magistrate emphasized that Mutuma must comply with all court conditions while investigations continue.
The case adds to a growing list of cybercrime incidents involving young Kenyans and financial institutions. In a similar case, detectives from the Directorate of Criminal Investigations (DCI) Banking Fraud Investigations Unit recently arrested a 26-year-old former Meru University student at his residence in Tatu City, Kiambu County.
The suspect allegedly hacked into the systems of a payment service provider linked to a betting company and stole KSh11.4 million in July 2025 after breaching the firm’s cybersecurity infrastructure.
Authorities say such cases highlight the increasing sophistication of digital fraud schemes in Kenya, where skilled individuals exploit vulnerabilities in banking and financial technology systems. The DCI has since warned banks and fintech companies to strengthen their cybersecurity frameworks, enhance real-time monitoring, and invest in advanced fraud detection tools.
The Sidian Bank cyber theft case involving the Mt Kenya University student serves as a stark reminder of the vulnerabilities within Kenya’s digital banking ecosystem. As financial institutions continue to digitize their services, law enforcement and cybersecurity experts emphasize the need for stronger collaborative efforts to combat the rising tide of cyber-enabled financial crimes.
If found guilty, Mutuma could face severe penalties under Kenya’s Penal Code and Anti-Money Laundering laws, marking yet another cautionary tale on the risks and consequences of cyber fraud in the country’s rapidly evolving digital economy.
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