Saturday, September 28, 2019- Crooked businessmen and criminal groups still hoarding the old Sh1000 notes are getting desperate ahead of the September 30 exchange deadline.

After September 30, the old Sh1000 notes will cease being legal tender and Central Bank Governor, Dr. Patrick Njoroge has maintained that the deadline will not be extended.

Consequently, corrupt individuals holding the Sh1000 notes have resorted to buying luxury items in cash since they cannot bank the loot fearing being flagged by the regulator.

A case in point is a Nairobi businessman who bought a brand new Mercedes Benz car, worth Sh8m, in cash, using the old Sh1000 notes at a car yard last week.

The car dealer who sought anonymity, told an international media house that the businessman walked into the yard with a stash of the old notes amounting to Sh8 million and bought the luxury car.

 “People want to get rid of their old notes, but they know very well that questions will be asked if they go put the money themselves in the bank,” the car dealer said.

“When I go to the bank to deposit money from a car sale, people ask for the papers from the sale, sometimes even copies of emails, but it never goes further.” he added.

Other corrupt individuals are using bars and restaurants to launder their illicit loot as they seek to salvage what they can before the money in their houses becomes mere paper.
This was revealed by a proprietor of a popular bar in Hurlingham who said:

“I was approached by a friend through another friend and we struck a deal. I get around 500,000 shillings every day to bank together with my daily sales,”

“In return I get between five and 10 per cent, depending on the amount. “he added.

Last week, Central Bank Governor Dr Patrick Njoroge revealed that old notes worth more than Ksh 100 billion were still yet to be swapped by citizens.

“Those notes will be mere papers come October 1. We have enough new notes in circulation,” Dr Njoroge warned

The Kenyan DAILY POST.

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