The High Court sitting in Milimani has declared that the Sh13.4 million found in the residence of Nancy Kigunzu alias Mathe Wa Ngara proceeds of crime.
The High Court has ordered the amount to be forfeited to the state.
Justice Esther Maina said the money be transferred to the Asset Recovery Agency KCB account, KICC Branch.
The money was being under safe custody at Central Bank of Kenya pending the forfeiture proceedings.
Justice Esther Maina said it is not in dispute that the money was found in Mathee Wa Ngara's house in sacks.
The Judge in her judgement said she did not give any explanation as to the source of the money.
She also faulted her for not giving any explanation as to why she had kept such a huge amount of money in her residence in sacks rather than taking it to the bank where it would have earned interest.
"The only reasonable conclusion this court can draw is that the money was kept in that manner to avoid detection by authorities," she said.
The judge concluded that im the absence of proof that the money was from a legitimate source, they could only be proceeds of crime.
'I am therefore satisfied that there is proof on a balance of probability that the cash was directly connected to criminal activity even though the commission or otherwise of that offence is yet to be determined," she said.
The court said its role was to establish the legitimacy of the source of the money in Kasungus possession but not her culpability which is left to the magistrate trying her to determine.
The Agency filed the matter in court saying the money must be proceeds of crime because it was found in the same place plant material, which when analyzed by the government chemist was established to be cannabis, a narcotic substance whose possession, use and trafficking is outlawed by the Narcotics Drugs Act.