A magistrate has reviewed bond terms for former Chase Bank Chairman Mohamed Zafrullah, who is facing allegations of defrauding the lender nearly Sh1.7 billion.
Senior Principal Magistrate Martha Mutuku reduced the bond from Sh60 million to Sh2 million cash bail.
Ms Mutuku had last week ordered Mr Mohamed Zafrullah Khan to deposit Sh60 million as surety bond so as to secure his freedom pending his trial.
In her ruling Wednesday, Ms Mutuku upheld arguments by Mr Khan’s lawyers saying that indeed the request to have the bond terms reviewed was a genuine one.
“The accused is serious about seeking medical attention abroad and therefore not a flight risk. I therefore order that he be released on a cash bail of Sh2 million,” she ruled.
The magistrate also ordered that in he alternative, Mr Khan pays a bond of Sh10 million and present two sureties, who are to deposit two million shillings each to the court.
She further directed him to comply with the conditions set by the investigating officer and warned that should he fail to appear in court for the trial, the cash bail will be forfeited to the State.
Mr Khan was charged last week with conspiring to defraud Chase Bank Sh 1,683,000,000 by falsely pretending that the said monies had been disbursed to four companies as genuine loan facilities.
He was also charged with stealing huge sum of monies and failing to comply with provisions of the proceeds of Crime and Anti-Money Laundering Act.
The offenses were allegedly committed between 2012 and 2016 on various dates.
He had pleaded not guilty to the charges but had to remain in detention at the Kileleshwa Police Station because he could raise bond.
The High Court had on the day of his arrest ordered that his passport be released to him so that he could travel to the USA for an open heart surgery within 30 days.
Whilst his lawyers Cecil Miller and Peter Wena attempted to have the plea taking deferred, the prosecution through Mr Warui Mungai claimed that he was a flight risk and that he could face other charges.