Companies
Why judge unfroze 3 accounts of payment firm Kiwipay Kenya
Friday January 12 2024
The Directorate of Criminal Investigations had obtained freeze order from a Nairobi court in December as they investigated the money belonging to Kiwipay Kenya Ltd at Ecobank Kenya Ltd. PHOTO | SHUTTERSTOCK
The High Court has unfrozen three bank accounts belonging to a payment solution firm after a Frenchman owning the company complained that the police failed to disclose full information to the court when they sought the order.
The Directorate of Criminal Investigations (DCI) had obtained the freeze order from a Nairobi court in December as they investigated the money belonging to Kiwipay Kenya Ltd at Ecobank Kenya Ltd.
This was after four foreign firms complained to the DCI as they sought payment of $5.82 million (Sh924.8 million at current exchange rates), from the billions belonging to Kiwipay (K) Ltd.
Read: Vicious fight erupts over Kiwipay’s Sh800m at Ecobank
But Frenchman Gregory Schmidt, who is the majority shareholder of the payment solution firm moved to the High Court and convinced the court to lift the freeze, arguing that State machinery was being used to propel underlying agendas at his expense.
He said the order was obtained with the sole objective of preventing him from enjoying the fruit of the judgment, after winning another court battle in December.
“That pending inter-partes hearing of the application, an order be and is hereby issued staying the ex-parte order,” Justice Dorah Chepkwony said and directed the case to be heard next week.
The DCI through an investigator Mr Maxwel Otieno sought to investigate the bank following alleged complaints by four foreign firms, which are seeking $5.82 million (Sh924.8 million), from the billions belonging to Kiwipay (K) Ltd.
Kiwipay (K) Ltd is majority owned by Kiwipay PTE, a firm registered in Singapore.
