By NT Correspondent.

A witness in the ongoing trial against former OKI Company Limited director Honey Katwani — who is charged with stealing Sh356 million — has told a Nairobi court that the former director routinely threatened employees and confiscated their passports during his time in office.

The two witnesses who testified on Wednesday also gave damning testimony, linking Katwani to a sophisticated, multi-million-shilling fraud scheme.

Jatin Aswani, the company’s accountant, testified before Milimani Chief Magistrate Dolphina Alego that Katwani had taken away his passport and verbally threatened him while serving as the company’s director.

Aswani further alleged that Katwani was involved in foreign currency exchanges at rates lower than the market value, often utilizing the black market for such transactions.

According to Aswani, Katwani once visited the company premises with a truck, removed receipts and invoices, and left without resistance from staff due to his authoritative position.

“Some clients were paying in cash,” Aswani said, implying irregularities in accounting practices.

A former sales executive and accountant Karan Badlani corroborated Aswani’s claims.

The witness told the court that Katwani frequently intimidated staff, confiscated their travel documents, and coerced employees to apply for work permits under duress.

Badlani noted that at least three complaints had been filed with the police, complete with OB numbers.

The court heard that the alleged stolen funds were misused, severely crippling the company’s operations.
The witnesses claimed that after leaving OKI, Katwani established a new entity, Galaxy, where the stolen funds were funneled.

He is also alleged to have set up a second “pseudo” company to further facilitate the illicit transfer of funds.

The prosecution emphasized that employees were threatened and intimidated to ensure they remained silent about the alleged fraud.

Katwani is facing multiple charges of defrauding OKI Company Limited of over Sh356 million during his tenure as director.

The prosecution alleges that the funds were siphoned through fake invoices, black-market currency dealings, and later laundered through companies he established post-departure.

Aswani told the court that while working under Katwani, he uncovered discrepancies in sales figures that suggested gross financial mismanagement.
He also claimed his life was endangered after Katwani allegedly issued death threats.

And despite reporting the matter to the police, no action was taken, he said.
Supporting this narrative, Badlani told the court that between 2020 and 2024, Katwani maintained a climate of fear in the workplace, using intimidation and coercion to silence dissent. He said the hostile environment eventually forced him to resign.

Both witnesses alleged that the stolen funds were squandered on gambling and other unauthorized expenditures, pushing the company into financial turmoil.

The prosecution argued that the testimonies paint a consistent and troubling picture of a director who abused his position to enrich himself while silencing those who questioned his actions.

The hearing continues tomorrow, with more prosecution witnesses expected to take the stand against the former director.