Kenyan businessman Julius Mwale, the man behind the ambitious Mwale Medical and Technology City (MMTC) in Kakamega, is once again in the spotlight after being accused of defrauding American investors in a multi-million dollar deal.

Mwale and his wife, Kaila Mwale, are alleged to have misled a Utah couple, Matthew and Brooke Shaw, into investing $1.7 million (Ksh 217 million) in projects that promised high returns, including a battery manufacturing plant, smart city ventures, and infrastructure deals in Kenya and the Democratic Republic of Congo.

According to court filings, the Shaws claim Mwale showcased images of private jets, luxury estates, and high-level connections—including photos with international political figures—to bolster his credibility. They allege that much of the property portfolio presented by Mwale did not exist or was incomplete, including facilities in Kakamega that he touted as operational.

“The promises made by Mr. Mwale were fabricated to lure us into a false sense of security,” the Shaws said in their suit.

Julius Mwale’s Legal Battles Across States

The dispute has moved through U.S. courts, with filings in Utah later transferred to New York. In May 2025, Mwale secured a reprieve after one of the $1.5 million claims was voluntarily dismissed, citing venue and jurisdictional issues. Despite that victory, the larger fraud allegations remain unresolved.

Legal documents also show that Mwale entered into a Loan Modification Agreement with the Shaws but allegedly failed to honor the new repayment terms.

Julius Mwale’s Past Controversies

This is not the first time Mwale’s business empire has faced scrutiny. His company, Tumaz and Tumaz, has been linked to disputes over the Mumias Sugar lease, where rival bidders accused him of irregularities and misrepresentation. Analysts have also questioned the valuation of Tumaz and Tumaz, which Mwale has pegged at $60 billion, a figure that critics say lacks independent verification.

While Mwale has positioned himself as a billionaire philanthropist driving development in western Kenya, critics argue that his ventures often fall short of the grandeur portrayed in public.

Impact on Reputation

The allegations now raise serious questions about Mwale’s credibility among investors, both in Kenya and abroad. Analysts say the ongoing cases could deter potential backers from committing to his large-scale projects unless he provides greater transparency and audited proof of assets.

The Bigger Picture

Mwale has not publicly commented on the latest case, but his supporters insist that the lawsuits are attempts to discredit a man who has consistently invested in African development.

For now, the court battles in the U.S. continue, and the future of Mwale’s billion-dollar image hangs in the balance.