Robert Njoka Muthara at Milimani court

The National Bank is being sued by a businessman who claims that they enabled the unauthorised removal of approximately Ksh14 million from a company's account.

Robert Njoka Muthara is attempting to freeze money stored in four National Bank of Kenya accounts that belong to a business that provides services for motor vehicles.

Additionally, he requests that the funds related to New Embu Uhuru Garage Limited be held hostage until the outcome of the litigation he has filed challenging the directorship of the business.

Muthara claims to be the descendant and benefactor of the late Josphat Njoka Mbiriai's estate, who was a shareholder and one of the company's original members.

The 1980-founded company's initial shareholders and members have all died away, according to court filings, and succession processes are now being conducted for each estate.

According to rulings made on September 23, 2021, according to Muthara, the court ordered that the estates of shareholders who have passed away must be fully administered before shareholders' rights may be exercised.

He claims that Margaret Rachel Mbogo and others are unlawfully and fraudulently changing the company's ownership structure to access the money kept in the four accounts at the National Bank of Kenya.

In addition, Muthara has accused seventeen more corporate beneficiaries of engaging in dishonest and unlawful changes to the ownership structure of New Embu Uhuru Garage Limited.

He contends that these modifications were made blatantly in violation of the court's instructions from the hearing on September 23, 2021.

In court filings, Muthara states that the Registrar of Companies ordered that no company conference should be convened before the transfer of shares and that modifications to the company's organisational structure be deleted in a letter dated May 27, 2020.

He claims that no shares have been transferred since the management of the estates of the stockholders who have passed away is still proceeding.

According to Muthara, there have been no shareholder meetings, and there is no corporate resolution sanctioning any organisational changes. Therefore, any such gathering would be regarded as illegitimate.

To stop Mbogo and the other sixteen people from acting in any capacity as shareholders or directors of New Embu Uhuru Garage Limited until his claim is heard and decided, he is asking the Commercial Court for an injunction.

In addition, Muthara asks that the National Bank be forbidden from giving any money that the business has to Mbogo or any other person or organisation until the hearing and conclusion of his litigation.

He claims that New Embu Uhuru Garage Limited's business dealings are being managed in a repressive, unlawful, and unfair way that is hurting the objectives of the company's members, including himself and the estate of his late father, Josphat Njoka Mbiriai.

On Monday, the matter will be discussed to decide the next steps.


Post a Comment

What is your say on this

Previous Post Next Post

Adblocker detected! Please consider reading this notice.

We've detected that you are using AdBlock Plus or some other adblocking software which is preventing the page from fully loading.

We don't have any banner, Flash, animation, obnoxious sound, or popup ad. We do not implement these annoying types of ads!

We need money to operate the site, and almost all of it comes from our online advertising.

Please add to your ad blocking whitelist or disable your adblocking software.