The Court of Appeal on Friday dismissed an appeal by a Dubai-based company to freeze money in accounts owned by the former Chief Judiciary Registrar Anne Amadi.
In a ruling, a three-judge bench comprising Justices; Mumbi Ngugi, Mwaniki Gachoka and Sankale Ole Kantai observed that the company which sought to recover Ksh102 million lost in a gold deal gone wrong failed to justify its appeal.
The company wanted the court to issue orders barring Amadi and her co-accused from accessing the funds. The company argued that it lost over Ksh100 million when it attempted to buy 1.5 kilograms of gold from Kenya in 2021.
"The applicant further seeks an order that the personal bank accounts registered to the 1st, 2nd 3rd and 5th respondents domiciled at any bank within the Republic of Kenya be frozen, and that no funds whatsoever be withdrawn from the accounts without an express order of the Court pending hearing and final determination of the applicant's intended appeal," read part of the court documents.
Per the documents, directors from the company were introduced to one of the accused who agreed to work for a logistics company involved in the export of gold from Kenya to Dubai.
The company entered into an agreement with a logistics company which was represented by Amadi's law firm, Amadi and Associates Advocates.
Money amounting to Ksh 85 million (USD592,970) was allegedly sent to Amadi's law firm account. Representatives from the foreign company argued that they were presented with false and forged documents by the former Chief Registrar and two other accused persons.
Besides making the payment and an additional Ksh21.4 million (USD149,236), the company did not receive any gold forcing it to ask for a full refund.
" It then sought to have the said firm reimburse all the monies paid, but the parties did not reach an agreement, which culminated in the subject suit and the impugned order," read part of the court documents.
In her defence, Amadi argued that she wasn't a signatory to the bank accounts stated and was incapable of making withdrawals or any other transactions.
She further added that it would be unfair and she would be crippled financially if the orders are approved. She noted she would not be able to provide for herself and her family.
"The 1st respondent (Amadi) submitted that the applicant had not shown what irreversible consequence it would suffer as the amounts alleged to have been paid could always be recovered, or the applicant could be compensated in damages," read part of the court documents.
Others enjoined in the case also asked the Court of Appeal to dismiss the application. One of the respondents argued that the appeal was frivolous and a clear abuse of the process.
Amadi's accounts were frozen in May 2023. However, a month later the High Court lifted orders freezing Amadi's personal bank accounts.
The court observed that it had not been proven that the former Chief Registrar was involved in the law firm's day-to-day activities and benefited from the said funds.
