BY SAM ALFAN.
A Ruiru couple has forfeited two motor vehicles to the government after a judge found that it was linked to proceeds of crime.
High Court Anti-Corruption Division Judge Esther Maina directed the motor vehicle KCP 336B and KDC 813M taken over by the State after ruling that they were proceeds of crime and trafficking in persons.
The couple Elosy Kendi Mutwiri and Felix Mutwiri Muthama had secured loans from Situ Investments limited and NCBA Bank.
“Accordingly, I find that the two vehicles are liable for forfeiture to the government of Kenya and I do sold,” ruled the judge in her decision.
The judge dismissed claims by Situ Investments ltd and NCBA Bank that they were the current owners of the motor vehicles after the couple defaulted in repaying loan.
The company has claimed that it shall suffer greater prejudice if the security it hold is forfeited as it will be left financially exposed.
NCBA Bank on its part argued the car was bought through a loan advanced by virtue of loan agreement.
Th judge said she was persuaded that that the loans borrowed from the two financial institutions were just decoys intended to conceal and disguise the source of funds used to acquire the two motor vehicles.
The judge said it is evident that after taking loans and acquiring the cars, which they then used as collateral, the couple used the monies which they acquired through the illegal trade to service those loans.
“That clearly explains why they were arrested they could no longer service the loans,” said the judge.
She added, “In effect the vehicles were acquired through the proceeds of illegal trade or business and the loans were used to launder the property to make it look like it was from a legitimate course.”
The judge further said that lenders must take cognizance of such and take precautions to cushion themselves from customers such as Elosy who use their facilities to launder their ill-gotten properties.
Asset Recovery Agency moved to court seeking the forfeiture of the vehicles stating that they were linked to proceeds derived from trafficking in persons.
