Joshua Althauser, Coin Telegraph

The Kenyan police have arrested three peer-to-peer Bitcoin brokers Emma Kariuki, Stanley Mumo, and Timothy Gachehe for allegedly trading stolen money through the local trading platform LocalBitcoins.

The funds were reportedly stolen by a person using the pseudonym “BADASS20” from the I&M Bank and a Safaricom Pay Bill account.

According to a report by regional media Kenyan Wall Street, the anonymous thief has stolen KEH 10.2 mln (around $100,000) from the financial establishments and used the money to purchase Bitcoins via the exchange LocalBitcoins.

The local police were able to trace the stolen money to various bank accounts, including those owned by the arrested Bitcoin traders.

During the police investigation, the traders claimed that they were not aware that the money used by the anonymous thief to buy Bitcoin was stolen and they were just doing what they claimed as a “normal” trading activity.

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