Tuskys accounts frozen over premises deal case

A Nairobi court has stopped withdrawal of funds from Tuskys Supermarket’s bank accounts, held in six banks, until a suit filed by a business partner is heard and determined.

Judge Alfred Mabeya issued the orders following an application by Mr James Juma Muchemi who claims that the supermarket breached a lease agreement.

In the agreement Mr Muchemi was to put up a building in Nakuru in which Tuskys was to open a branch.

“Upon completion of the construction in 2010, the company refused to occupy or pay rent to the premise,” Mr Muchemi says in his court documents.

He is now claiming Sh165 million as compensation the two parties had put, should the supermarket fail to take up the premise within 90 days after completion.

He is also claiming over Sh600 million in special damages.

The order to freeze the accounts was awarded on account of Mr Muchemi’s fears that the company may be forced to close down as a result of wrangling between its directors.

“Tusker Mattresses Limited is hereby restrained either by itself, officers or agents from withdrawing any amount from its accounts at Diamond Trust Bank, Barclays Bank, NIC Bank, Equity Bank, Kenya Commercial Bank or Consolidated Bank,” Mr Mabeya said.

The orders will run until May 24, when both parties will appear in court for a hearing.

Last week, Mr Justice Mohammed Warsame in a bid to save the business empire, directed the four brothers feuding over the management of the supermarket chain to resolve their disputes out of court.

The case before Justice Warsame was filed by three brothers after police started investigating a complaint by one of the brothers Yusuf Mugweru Kamau and his niece Ms Ann Gatei that some Sh1.6 billion had been transferred from the bank account of the company irregularly.

However, the three, Managing Director Stephen Mukuha Kamau, Purchasing Director George Gachwe Kamau and Financial director Frank Kamau accused their brother of interfering with the management of the business.