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Court halts KES 74M withdrawal from Rwandese investor’s account

Faith Chandianya by Faith Chandianya
January 3, 2024
in News
Reading Time: 2 mins read

Desire Muhinyuza has received relief as the high court intervened to prevent two attorneys from withdrawing KES 73 million from the USD 2.6 million (400 million) held by the government.

Justice Alfred Mabeya has prohibited lawyers Omwanza Nyamweya and Ivy Ateko Igati from claiming KES 74 million in legal fees from StayOnline (SOL), a company embroiled in an ownership dispute between Muhinyuza and Kenyan businessman Kirimi Koome.

The legal representatives of Muhinyuza, namely Danstan Omari, Shadrack Wambui, Omayio Aranga, and Sophie Nekesa, who were opposing the legal fee claim, argued that the two lawyers were acting on behalf of Koome, not SOL. Justice Mabeya ruled that Koome had defrauded Muhinyuza.

Omari urged the judge to prevent Omwanza and Ingati from pursuing any legal claim on behalf of SOL. In a virtual ruling, Justice Mabeya concurred with Omari, stating that Omwanza and Ingati cannot seek legal remuneration from Muhinyuza and SOL, as they never represented the latter.

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Justice Mabeya issued a temporary order staying the implications of the consent order of October 30, directing the manager of United Bank of Africa (UBA) to transfer the sum of KES 74 million plus accrued interest. The court ordered that the case filed by Stay Online, which seeks to block the money transfer, be heard on February 16.

These orders, blocking the fund transfer, have sparked a fresh dispute among the lawyers involved in the KES 400 million ownership dispute between Rwandan investor Desire Muhinyuza and a demand for KES74 million in legal fees.

 

 

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