A director of Gladdens Homes Limited has been arraigned in Nairobi over allegations that he obtained Sh28 million from 22 people in a suspected housing fraud scheme that detectives say operated between 2024 and 2026.
Bildad Nzuki Wambua appeared before the Makadara Law Courts on Wednesday, September 2, 2026, where he faced multiple counts of obtaining money by false pretences contrary to Section 313 of the Penal Code, alongside money-laundering charges. The case is registered as MCCR No. E5356/2026.
How the alleged scheme worked
According to investigations by detectives based at the Directorate of Criminal Investigations (DCI) Starehe Sub-County, Wambua allegedly ran a systematic scheme targeting members of the public seeking to acquire homes.
Investigators allege that prospective buyers were promised houses of different designs and sizes on Land Title No. Nairobi/Block A 40/474.
The development was allegedly presented to potential buyers as part of a project known as the Urban Housing Renewable Development LPP.
The 22 complainants are reported to have made payments through Gladdens Homes Agency, a privately registered entity associated with Wambua, after allegedly being persuaded by representations concerning the housing development.
The total amount allegedly collected from the victims stands at Sh28 million, meaning the reported average loss per complainant was approximately Sh1.27 million.
The allegations have now placed the property company’s operations under scrutiny as detectives continue investigating the circumstances surrounding the transactions.
Prosecution opposes bond
Following Wambua’s arraignment, the prosecution opposed his release on bond.
The court was expected to deliver its ruling on the bond application on Thursday, September 3, 2026, while the matter has been scheduled for mention on October 15, 2026.
As the case proceeds, the allegations against Wambua remain unproven, and he is entitled to the presumption of innocence unless and until a court determines otherwise.
DCI seeks more potential victims
Detectives have appealed to members of the public who may have dealt with Wambua or Gladdens Homes Agency and suspect that they were similarly defrauded to come forward.
The DCI has asked such individuals to report to its Starehe Sub-County offices for assistance and guidance.
The appeal could potentially widen the scope of the investigation if more complainants come forward with documentation, payment records or agreements relating to the alleged housing project.
Housing and land scams remain a concern
The case comes amid continued warnings from Kenyan authorities over fraudulent dealings in the country’s property sector.
The DCI maintains a specialised Land Fraud Investigations Unit tasked with investigating fraudulent activities involving land ownership records, titles and property transactions.
Its mandate includes investigating forged land titles and fraudulent procurement of registration documents.
The agency has previously handled large-scale land fraud investigations.
In one case, more than 500 complainants sought justice after alleging they had been defrauded in a land-selling scheme, with investigators reporting that hundreds of buyers had collectively paid millions of shillings.
In another recent Nairobi case, DCI detectives investigated an alleged fraudulent property transaction involving a Sh12 million Muthaiga parcel, highlighting the range of schemes that investigators encounter in the real-estate sector.
What property buyers should check
The DCI has repeatedly urged Kenyans to conduct independent due diligence before committing substantial amounts of money to property transactions.
Among the agency’s warnings is the need for buyers to verify ownership documents rather than relying solely on information supplied by vendors or property agents.
The DCI also advises prospective buyers to conduct their own inquiries and, where necessary, engage trusted professionals such as advocates.
The agency has also warned that fraudulent transactions can involve forged title deeds, sale agreements, company documents and other seemingly legitimate paperwork.
For prospective homeowners, the Sh28 million allegations serve as another reminder that an attractive housing offer should not substitute for thorough verification of the developer, land ownership, approvals, contracts and payment arrangements.
Meanwhile, detectives continue to pursue the housing fraud investigation, with authorities urging anyone who believes they may have been affected by the alleged scheme to come forward.
The court proceedings will continue as the prosecution presents its case and the accused responds to the allegations against him.
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