BY SAM ALFAN
African Banking Corporation (ABC) has moved to court seeking orders to be allowed to sell the property of former President Uhuru Kenyatta’s uncle George Muhoho over a Sh107 million debt.
The lender sought the court’s nod to sell property known as Title Number Land Reference Number 12159/2 registered in the name of Muhoho over the debt advanced to Westminster Ltd, a company linked to the former cabinet minister in President Moi’s government.
“The Plaintiff (ABC Bank) now moves this court to for orders to enable it sell all that land known as LR. No. 12159/2 as per Section 79 (9) of the Land Act,” says the Bank.
According to the documents filed before Milimani Commercial Court, the bank said it advanced to Westminster ltd a loan of Sh.52 million, on August 7, 2019.
The loan was secured by an informal charge created by depositing a title deed registered in Muhoho’s name.
The lender said Westminster ltd has since failed to make the requisite payments to service the loan as required.
“Owing to the failure to make the loan repayments, Westminster ltd has defaulted on the loan facility and is currently indebted to the Plaintiff to the tune of Sh. 107,913,918.28 as at 31″ January, 2023 which amount continues to attract interest at 14.25 percent per annum at a default rate of 24 percent per annum until repayment in full,” says the ABC Bank.
The lender added that the continued state of default has become unsustainable and it was seeking to sell the property to recover the outstanding amount.
It was further revealed that the Bank wrote to Muhoho on 4 August, 2022 informing him of the defaulted loan and demand of payment or the property be sold. The bank had not received any response by the time it moved to court.
