PrideInn Hotels and Investments Ltd is facing closure after a court ruling that put it under liquidation for inability to pay a Sh69.3 Million debt.
On Monday, High Court Judge Patrick Otieno allowed the winding up of the popular Group of Hotels following a petition filed by Tropicana Hotels Limited.
“I appoint the official receiver as the interim liquidator of the company, the order of appointment takes effect forthwith but the official receiver must take charge and the running of the affairs of the company not later than October 1,” Justice Otieno ordered.
The Judge noted that the reasons by the Hotel for non-payment were not honest adding that the allegations of coercion by PrideInn were not a genuine reason for not paying the debt.
The petitioner, Tropicana Hotels Ltd, told the court that PrideInn Hotels Investments was duly informed of non-payment of the money and of the default but it failed to pay the debt.
“More than three months have passed since the demand was made and received but the company has failed to satisfy the whole debt or part of it,” lawyer Kinyua Kamundi stated.
During the course of the hearing, PrideInn Group of hotels said it lost Sh90 Million in contracts of service following the advertisement of the petition to wind it up.
The embattled Hotel which operates a chain of hotels in Nairobi and Mombasa has filed an appeal against the judgment.
PrideInn Business Westlands is Located along Westlands Road next to Graffins College. It is within close proximity to International organizations, financial institutions and others offices and major tourist attractions offering a wide range of hospitality services.
