Mombasa tycoon gets Sh248m court deposit reprieve
Mombasa tycoon Tahir Sheikh Said and two of his companies got a reprieve after the High Court slashed by Sh248 million the deposit required as a condition of a restraining order they obtained against Bank of Africa.
Lady Justice Njoki Mwangi stayed her orders, which had directed Mr Said and his companies to deposit $2.5 million (Sh250 million) in an interest-bearing account opened in the joint names of the law firms representing the two parties.
She directed Mr Said and his companies to pay the Sh2 million as a pre-condition for the grant of the orders of stay of execution.
“It is a condition antecedent to granting of the orders for stay of execution that an applicant must furnish security,” said Lady Justice Mwangi.
The judge said should she decline to grant orders of stay of execution, the bank would move with speed to sell the tycoon’s property and those of TSS Transporters Ltd and TSS Investment Limited in realisation of its security.
“Failing to grant orders of stay of execution pending appeal, will also render the appeal in the Court of Appeal nugatory thereby frustrate the efforts of the applicants to have their appeal heard and determined,” said she said.
Lady Justice Mwangi said TSS and his companies had established sufficient cause for grant of the orders due to the special circumstances of the case and conditions that the court set for injunctive relief.
The tycoon and his companies filed an application seeking to have the order requiring them to deposit the $2.5 million as security suspended.
