Martha Koome and Patrick Kiage bow out of Uhuru kin's case

Two appellate court judges have recused themselves from a case filed by President Uhuru Kenyatta's relative on the acquisition of a multi-million coffee estate by Kenya Commercial Bank over a Sh800 million  loan.

Lady Justice Martha Koome and Mr Justice Patrick Kiage on Wednesday disqualified themselves from presiding over the appeal filed by Benjoh Amalgamated and Muiri Coffee Estate associated with a former assistant minister Ngengi Muigai.

The two judges of the second highest court in the land said “we had handled this matter at the High Court before our elevation.”

22 YEARS AGO

Senior Counsel Paul Muite, who is appearing for Muiri and Benjoh, sought time to familiarise himself with facts of the case.

In the appeal, the two companies are seeking to overturn a decision of the High Court passed 22 years ago allowing KCB to attach Muiri Coffee Estate, which had guaranteed Benjoh Almagamated for the loan to finance a flower project in Nyahururu.

Benjoh through Captain (rtd) Kung’u Muigai alleges KCB failed to advance the loan, leading to the collapse of the  flower project.

Benjoh says it does not know how KCB came up with a figure that the loan advanced accrued interest to the tune of Sh70 million.

SH11 MILLION

KCB sold the coffee estate to Bidii Kenya but Benjoh and Muiri contested the sale of the 434 -acre farm under coffee.

The move deepened a 24-year court battle pitting Benjoh Amalgamated and Muiri Coffee Estate against KCB over sale of the 434-acre farm, estimated to be over Sh700 million.

Captain Kung’u says Benjoh borrowed only Sh11.5 million in 1988 and the coffee estate was used as security but after defaulting to repay the loan, KCB auctioned the estate to recover the outstanding amount.

The estate was sold to Bidii Kenya Ltd at Sh70 million after a public auction conducted by Watts Enterprises.