Three men have been arraigned at the Milimani Law Courts over allegations of running an organised scheme to illegally unlock M-Kopa phones before customers completed their loan repayments.
The accused Jeremiah Njoroge, Marvine Wanguno, and Victor Kimani appeared before Chief Magistrate Dolphina Alego on Wednesday, facing five counts, including theft and handling suspected stolen property. They pleaded not guilty to all charges.
According to court documents, the trio is accused of stealing six mobile phones on August 4, 2025, from M-Kopa Kenya Limited. The devices, valued at KSh 800,000, reportedly included two Samsung A13s, a Samsung A12, a Samsung A03s, a Samsung S24, and a Nokia GS0.
The prosecution further alleges that on the same day, the men stole three high-end smartphones a Samsung Note 20 Ultra, a Samsung Galaxy S23 Ultra, and another Samsung Note 20 from Mophone Kenya Limited, valued at KSh 1 million.
In an alternative charge, they are accused of dishonestly receiving or retaining four mobile phones a Samsung A04s, Samsung A05, and two Samsung A03s worth KSh 1.2 million belonging to Watu Credit, knowing or suspecting the devices were stolen.
Investigators told the court that the suspects were arrested at a shop along Tom Mboya Street, Nairobi, following a tip-off. Police allegedly found them in possession of five M-Kopa phones undergoing unlawful unlocking, a process that bypasses the company’s loan repayment security system.
The prosecution opposed lenient bail terms, recommending a KSh 1 million cash bail for each accused, citing the high value of the alleged theft and the risk of interference with witnesses. Defence lawyers, however, argued that the proposed bail was excessive and requested a pre-bail report to determine reasonable terms.
After considering submissions, Chief Magistrate Alego released each suspect on a KSh 2 million bond or KSh 1 million cash bail. The case will be mentioned on August 27, 2025, before Court 3 for pre-trial proceedings.
The matter has drawn attention due to the growing black market for unlocking pay-as-you-go devices, which has posed significant challenges to firms like M-Kopa that provide smartphones through loan arrangements.
