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Date set for Tuju’s Sh1.5bn debt case

Jubilee Party Secretary-General Raphael Tuju. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • Tuju said the judgment entered in favour of East African Development Bank was biased and against the Constitution.

Jubilee Secretary-General Raphael Tuju on Tuesday pleaded with the High Court to set aside a judgment that allows a regional bank to recover more than Sh1.5 billion from a company associated with him.

Justice Wilfrida Okwany will rule on the matter on February 13.

Mr Tuju, through senior counsel Paul Muite and Paul Nyamodi, said the judgment entered in favour of East African Development Bank was biased and against the Constitution. Justice Okwany

Mr Tuju said if not stopped, the company (Dari Ltd), which he maintained was not given the right to fair hearing, might lose a property valued at more than Sh3.5 billion.

Mr Muite said Dari Ltd raised the issue of bias before a UK court, claiming that Mr Michael Sullivan, who represented the bank and judge Daniel Toledano, who presided over the matter, shared a chamber.

But in reply, Mr Sullivan told the court that there was nothing wrong with sharing chambers because they are independent of each other.

Mr Sullivan further said it was upon Dari to show why the judge should have recused himself from the case.

Mr Nyamodi said the funding was two-phased and the lender failed to make available the funds for the construction of housing units, which would have enabled Dari to sell them and repay the loan.

“The funds for the second phase were not forthcoming. They never disbursed the funds and they kept shifting goal posts making it impossible for the debtor,” he said.