Betika, a prominent betting firm, was hit by a sophisticated cyber hack that drained Sh11.4 million, prompting Kenyan authorities to apprehend 22-year-old Seth Mwabe at his residence in Tatu City.
Mwabe, a former IT student at Meru University of Science and Technology, dropped out during his second year due to mounting fee arrears. Investigators described his modest home as a makeshift ICT lab filled with high-end computers, servers, and hacking tools.
Mwabe’s arrest highlights the growing threat of digital fraud in Kenya’s booming online betting industry, where vulnerabilities in payment systems are increasingly exploited by tech-savvy individuals facing economic hardships. His background reveals untapped potential that was derailed by financial challenges.
Enrolled in Meru University’s Bachelor of Science in Information Technology program in 2021, he showed promise in coding and network security courses but withdrew in 2023 after accumulating unpaid fees exceeding Sh200,000. Sources close to the university noted that Mwabe participated in hackathons and cybersecurity workshops, earning praise for his innovative projects on ethical hacking.
However, after dropping out, he reportedly turned to freelance work in web development and IT repairs in Ruiru town, near Tatu City, to make ends meet. Investigators believe his skills evolved into illicit activities, possibly influenced by online forums discussing exploits of betting platforms.
Betika reported the loss after detecting irregular transactions traced to Mwabe’s IP address. Preliminary findings suggest he used phishing techniques and SQL injection attacks to access user accounts and siphon funds over several weeks. The Sh11.4 million haul, approximately $88,000, was allegedly funneled through multiple mobile money wallets and cryptocurrency exchanges to evade detection.
Kenya’s Directorate of Criminal Investigations (DCI) Cyber Crime Unit, in collaboration with Betika’s internal security team, focused on Mwabe after analyzing transaction logs and surveillance footage from Tatu City’s gated community.
His arrest followed a dawn raid, where officers discovered a range of gadgets, including multiple laptops with encrypted drives, external hard drives containing betting algorithms, and notes on vulnerability scanning tools like Nmap and Metasploit.
This incident underscores broader issues in Kenya’s education and tech sectors. With youth unemployment hovering at 35%, many talented students like Mwabe face barriers to completing their studies, pushing some toward cybercrime as a lucrative alternative.
Betting firms, including Betika, which contribute significantly to the economy through taxes and sponsorships, have ramped up cybersecurity measures. However, experts warn that insider knowledge from dropouts poses a unique risk.
The Communications Authority of Kenya (CA) reported a 40% surge in cyber incidents targeting financial services in 2025, prompting calls for enhanced digital literacy programs in universities.
Mwabe’s case draws parallels to other high-profile arrests, such as the 2024 takedown of a Nairobi-based hacking ring that targeted mobile lenders. Legal experts anticipate charges under the Computer Misuse and Cybercrimes Act of 2018, which carries penalties of up to 20 years imprisonment and fines equivalent to the stolen amount.
During interrogation, Mwabe reportedly claimed that the operation was a “one-time desperation move” to clear debts and support his family in Meru County. Community leaders in Tatu City, a modern industrial hub, expressed shock, noting the area’s reputation for innovation rather than crime.
As the investigation unfolds, stakeholders are advocating for scholarships and mentorship initiatives to steer at-risk youth away from illegal paths. Betting regulators, including the Betting Control and Licensing Board (BCLB), are urged to implement stricter API security protocols.
Mwabe’s arraignment is scheduled at Kiambu Law Courts, where prosecutors will seek remand to prevent evidence tampering. For those following developments in Kenyan cyber fraud cases, the arrest of Seth Mwabe in Tatu City serves as a stark reminder of how economic pressures can fuel digital delinquency. Authorities hope this bust will deter similar schemes, promoting a safer online gambling environment while addressing root causes like educational access in kenya.
