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Muhoho Taken To Court By ABC Bank Over Sh107M Debt

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Arguably one of the richest people in Kenya, former Kenya Airports Authority (KAA) Director General George Muhoho has been sued over a Sh 107 million debt that was advanced in 2019.

According to the suit before commercial court, African Banking Corporation (ABC Bank) against Muhoho and Westminster Ltd, the firm borrowed Sh52 million. However, the firm has failed to honor its end of the bargain. The amount has now accumulated to Sh107 million from the interests.

“The second defendant (Westminster) has since failed to make the requisite payments to service the loan facility as it is obligated to do so in terms of the letter of offer dated August 7, 2019,” claims ABC in its court papers.

The bank says Muhoho has been adamant in handling the matter, they’ve been reading the silence as a signal of unwillingness to pay the loan. “The continued state of default has become unsustainable and the plaintiff seeks to sell the property under informal charge in order to recover the outstanding amounts it is owed by the second defendant,” suit says in part.

According to the court document, Westminster allegedly agreed to borrow the money at an interest of 14.25 per cent per annum.

The bank states that the amount continues to attract interest at a 24 per cent default rate yearly. ABC’s Legal Manager Kajuju Marete in his supporting affidavit stated that Westminster inked the loan deal on August 7, 2019.

Kajuju explained that ABC agreed to advance the firm money after Muhoho deposited the title as security. He claims that ABC holds the original title.

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“The second defendant has defaulted on the loan facility and is currently indebted to the plaintiff to the tune of Sh107 million as of January 31, 2023,” claims Kajuju.

Kajuju now says even with a notice that Muhoho’s property would be sold, he allegedly never responded. “To date, no response has been made by the first defendant (Muhoho) nor has there been any attempt by both defendants to pay the outstanding amounts owing and due to the plaintiff out of the loan facility,” his affidavit reads.

According to the agreement before the court, Muhoho shoulders legal fees incurred by the bank while seeking to recover its money.

“The borrower will reimburse the bank on demand for all expenses incurred on their account as set out above, as well as for all expenses such as repossession charges, valuation charges, storage fees, investigation charges, legal fees… under this letter or the security,” the letter reads.

The bank wants the court to allow it to auction the land and have Muhoho and Westminster pay the costs of the case.

Muhoho is also a former Juja Member of Parliament and a diplomat. He is the brother of Mama Ngina Kenyatta and former President Uhuru Kenyatta’s uncle.


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