A businessman and a researcher have sued NCBA Bank Kenya and the State over alleged malicious prosecution arising from a criminal case that lasted five years.
Daniel Mwero and Dr Naomi Muinga are seeking Sh2 billion in special damages, alongside general, aggravated and exemplary damages, following their acquittal in November 2025.
The dispute began with bank transactions they say they reported to NCBA in June 2020, before they were arrested and prosecuted over alleged theft, fraud and computer offences.
Mr Mwero says they noticed a transaction in their joint NCBA account on June 26, 2020, and sought clarification from the bank. They allege that they disclosed the relevant information to investigators and cooperated with the authorities before their arrest.
They say the defendants nevertheless failed to properly investigate the source and movement of the money.
“We noticed a transaction in the aforementioned joint bank account and wrote to the first defendant (bank) seeking clarification,” Mr Mwero states in the civil suit naming NCBA, the Director of Public Prosecutions and the Attorney-General as the defendants.
NCBA House in Upper Hill, Nairobi
Photo credit: File | Nation Media Group
They claim the bank initiated or caused investigations despite information showing that they had reported the suspicious transactions.
They were subsequently charged at the Kibera Chief Magistrate’s Court with conspiracy to defraud, stealing, handling stolen goods and computer forgery. The charges also involved five other accused persons, according to the plaint.
The plaintiffs say the prosecution began on September 24, 2020 and continued until November 27, 2025, when they were acquitted following a finding the prosecution had not established a case requiring them to answer.
The suit alleges neither plaintiff was an NCBA employee and that they lacked access to bank systems needed to trace the disputed funds.
“The first and second plaintiffs were not employees of the first defendant and had no access to its internal systems necessary to trace the source of the funds,” their advocate Cliff Oduk states.
“The defendants failed to properly investigate and/or consider the information and documents available to them before charging the plaintiffs,” states the advocate.
The suit also claims the prosecution caused repeated court attendances, business disruption, loss of income and damage to their reputation.
The plaintiffs claim the publicity surrounding the criminal case affected their clients, business associates and commercial opportunities, including business through Furaha and Baraka Farms.
They allege that the arrest, prosecution and publicity caused them to lose clients, business opportunities and contracts, and have included lost earnings from contracts involving USAID, Mastercard Foundation and the World Bank in their damages claim.
The plaintiffs are seeking Sh2 billion in special damages, comprising Sh335.4 million for financial losses, Sh10 million for reputational damage, Sh1.61 billion for five years of business interruption, Sh12 million in legal fees and Sh50 million for psychological torture.
They also seek general damages for alleged unlawful arrest, detention, wrongful and malicious prosecution, defamation and loss of reputation.
The suit says the bank was the custodian of the banking system through which the transactions were undertaken and therefore had information necessary to establish the source of the money.
NCBA and the State are yet to respond to the allegations in court and are required to file their responses within 15 days.
The High Court has issued summons requiring NCBA, the State Law Office and ODPP to enter appearance within 15 days.
The plaintiffs’ documents list bank-account evidence, correspondence with NCBA, the criminal charge sheet, proceedings and ruling among materials they intend to rely on in the civil claim.
