Chairman of Dubai Bank in Kenya Abdul Hafedh Zubedi, Wilson Hassan Nandwa and Ali Bashir Sheikh at Milimani law court on Tuesday December 2,2015.
BY SAM ALFAN.
The chairman of Dubai Bank in Kenya was arraigned in court on Wednesday together with the bank’s Operations Manager and bank’s Directors to face charges of stealing money from the bank and for failing to comply with the anti-money laundering act respectively.
Abdul Hafedh Zubedi, Ali Bashir Sheikh and Wilson Hassan Nandwa, and Dubai bank are accused that on diverse date between 28 day of April and 1 September 2014 at Dubai Bank in Nairobi with others not before the court being Director of Dubai Bank Kenya limited and a limited liability Company respectively failed to comply with the requirements of section 44,45 and 46 of proceeds of crime and Anti- money laundering Act 2009 to wit Failure to carry out due diligence of a customer before opening account NO81176973 in the name of Runaway entertainment private limited a company which does exist.
They however did not take plea after warrants that were issued against them were lifted but those who did not turn in court,still facing arrest.
Butta Binary and Deeraj Kumar Baghes are accused that, on diverse date between 28 , and April and 14 September 2014 at Dubai Bank Moi Avenue branch in Nairobi being the servants of Dubai Bank Kenya Limited to wit Chief Executive Officer and t Operational Manager respectively stole USD 210,267,20 ( Two hundred and ten thousand, two hundred and sixty seven point two zero usds) equivalent to Kshs 12,639,006,50 the property of Dubai Bank which came to your possession by virtue of your employment.
They however did not take plea following objections by their lawyers and since the court handling the matter is on vacation, the presiding magistrate deferred the matter to 21st Dec 2015when the chief magistrate’s court will be sitting.
Mr Zubeidi filed a petition at the High Court in which he denies any role in the alleged money laundering scheme, arguing that as chairman, he had no role in the day- to- day running of Dubai Bank.
The Chief Magistrate’s Court issued warrants of arrest for Mr Zubeidi and four other directors at the bank for allegedly running a money laundering scheme at the institution. Mr Zubeidi says he was not informed of the investigations or that he was to be charged, contrary to the law.
Mr Dutta and Baghel are accused of stealing Sh12, 639,006 between April 28, 2014 and September 14, 2014 at Dubai Bank, Kenyatta Avenue, Nairobi.
Mr Zubeidi, Mr Sheikh and Mr Nandwa are accused of failing to carry out due diligence of a customer before opening a bank account in the name of Runway Entertainment Private Limited, a company the prosecution says does not exist.
“The chairman of the board of directors has no role in opening accounts. In particular, the said account was not opened with the petitioner’s knowledge. Mr Zubeidi had no notice of any investigation or court summons in respect of the charges and the decision to prosecute him is unlawful,” he says.
The warrants were issued after Dubai Bank’s directors failed to appear in court to plead to the three charges against them.
The Dubai Bank directors were expected to appear before the Chief Magistrate’s Court on December 2 to take plea after their lawyers argued that they had not received summons and that some of them were out of the country.
Mr Dutta filed the country in May, in the middle of a Central Bank of Kenya investigation into his role in a suspect share sale guarantee scheme.
The Friday warrant is the second against Mr Zubeidi in two weeks after the High Court deputy registrar issued another call for his arrest in a civil case.
The deputy registrar had just a week earlier called for Mr Zubeidi’s arrest for failing to heed a court directive to pay Sh7 million debt he owed Jazira Agencies, a Nairobi firm.
Dubai Bank was placed under statutory management in August after a Central Bank of Kenya audit report implicated it in massive breaches of industry regulations.
The matter was fixed for mention before Chief Magistrate Daniel Ogembo on December 21 for mention.
