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Tag: Desire Muhinyuza

  • Court halts Ksh 74M payment to lawyers representing Kenyan in company dispute

    Court halts Ksh 74M payment to lawyers representing Kenyan in company dispute

    The High Court has temporarily issued a stay order barring the implementation of a consent that directed a bank to transfer Ksh 74 million as legal fees to lawyers representing a businessman in Ksh 400 million company dispute.

    Justice Alfred Mabeya of the commercial and tax division on Wednesday granted the orders sought by a Rwandese businessman Desire Muhinyuza through his lawyer Danstan Omari.

    “Pending hearing and determination of the case, court issues an order on injunction temporarily staying the implementation of the consent orders issued on October 30, 2023 directing the manager of United Bank of Africa Westlands branch to transfer from Stayonline Limited US dollar account the sum of Ksh 35.5 million plus the accrued interests to Omwanza and Areba associates advocates and the sum of Ksh 38.8 million plus accrued interests to Ivy Ateko Ingati respectively,” Justice Mabeya said.

    The court directed the respondents to file their responses within 14 days and the case be mentioned on February 16, 2024.

    Last week, investor Desire Muhinyuza filed an application accusing businessman Kirimi Koome’s advocates of fraudulently obtaining consent from court to be paid Ksh 74 million in legal fees.

    In the application filed at Milimani court,  Muhinyuza through his lawyer Danstan Omari claim Koome’s lawyers Omwanza Nyamweya and Ateko Ingati fraudulently obtained the consent when they knew the ownership dispute was still pending in court.

    Danstan Omari claims that the consent was stage managed by Koome’s two lawyers in conjunction with Raphael Olwako on behalf of Stayonline company.

    “The impugned consent order was obtained without the lawyers making material disclosure to the court as to the status of Stayonline Ltd and that these proceedings were commenced in bad faith with ill intention of unlawfully utilizing funds amounting to Ksh 74,300,00 held in Stayonline’s bank accounts at UBA” Omari cites in court papers

    He wants the court to review the consent informing court that Olwako is not the director of the company in question and it was all a scheme to unlawfully withdraw the money held by the company in the guise of legal fees.

    According to court papers, Omwanza and Ateko failed to disclose to court that there were proceedings active in court on the ownership dispute between Desire and Koome.

    On December 27, the High Court declared that a ksh 400 million disputed fintech firm belongs to a Rwandese investor. The Judge ordered Koome to pay back $100,000 (Ksh 15.6 million), which he is said to have received from the Rwandese investor for tax purposes but never paid.

  • Change of guard at SOL Company after court declares Rwandese as owner

    Change of guard at SOL Company after court declares Rwandese as owner

    The management of the parent shareholder of StayOnline Limited has made changes with immediate effect to the Kenyan based branch.

    The company together with the Registrar of Companies Kenya has appointed Ambrose Wamari Obara as the Director and Shareholder of StayOnline Kenya Limited.

    The move by the Company follows an end to a suit filed at the High court by the Rwandese businessman Desire Muhinyuza in September this year.

    In a statement Wednesday to newsrooms the company said it had made resolutions to start the normal operations for the company in Kenya with the new leader at place.

    In a letter seen by KBC Digital, Ambrose Wamari Director/Shareholder will be the Kenyan watchdog and representative of StayOnline Limited Kenya branch.

    On Wednesday, Justice Mabeya declared Desire Muhinyuza as the real owner of StayOnline Limited.

    “Accordingly I find that the plaintiff is the owner of the company and the first defendants committed fraud by not filing the forms of ownership properly,” Justice Mabeya asserted.

    The foreigner has been in a legal battle with Kenyan Businessman Kirimi Koome over who is the real owner of StayOnline Kenya Limited.

    Kirimi Koome is accused of conspiring to defraud Desire Muhinyuza, who is the beneficial owner of StayOnline Limited of USD 2,619,583.27, being merchant funds by falsely representing himself as the owner.

    Muhinyuza’s lawyers led by Senior Counsel Danstan Omari put up a spirited fight for three months in court papers and presentations to help him regain control of his business StayOnline Limited.

    Koome is also charged at the Chief Magistrate’s court with making a false entry in a document for a payment of USD 100,000 (Ksh 14 million) to his Equity Bank USD Account and providing false information to the police.

  • Court extends freezing orders on bank accounts belonging to Kenyan businessman

    Court extends freezing orders on bank accounts belonging to Kenyan businessman

    The case pitting a Rwandese investor Desire Muhinyuza and Kenyan Businessman Kirimi Koome will now be heard in an open court from December 18th, 2023.

    In the suit, the Kenyan businessman has been charged with conspiracy to defraud a Rwandese national of Ksh 400 million.

    Koome is further charged with stealing Ksh 14,945,000 (USD 100,000) property of Stay Online Limited which had been entrusted to him to make payment of provision of taxes for the said company related to Desire Muhinyuza.

    He is accused of falsely representing himself as the owner of the said funds on diverse dates between July 10th and October 4th, 2023.

    When the hearing begins, Desire Muhinyuza, Stay Online Rwanda and Ambrose Obara have been listed as Plaintiffs in the case whereas Kirimi Koome, UBA bank and Registrar of Companies are the defendants.

    Justice Alfred Mabeya has also extended Interim orders to freeze Koome’s bank accounts until 20th December, 2023. The accounts were frozen in October 2023.

    “The case will be heard in three consecutive days 18th, 19th and 20th December, 2023,” Judge Mabeya said.

    The Judge has also ordered parties in the matter to file applications, responses and bring physical copies of their documents to Court by 15th December, 2023 before the hearing begins.

    The Rwandese national is being represented in court by seasoned Lawyer Danstan Omari and Sophie Nekesa.