Economy
Court extends freeze of Amadi’s accounts in Sh100m gold fraud case
Monday, May 29, 2023
Chief Registrar of the Judiciary Ann Al-Emadi. file image | NMG
The Supreme Court has extended an order to freeze the bank accounts of the chief justice registrar, Anne Amadi, pending a ruling on whether a claim brought by a Dubai gold trader who claims he was defrauded of Sh100m is valid.
Judge Alfred Mabia extended the stay order until Friday, June 2, when he will decide on the application by Ms. Amadi, seeking to strike out or remove her from the lawsuit.
Ms. Amadi argued in the application that she had not practiced a private profession since 2014, after she resigned from Amadi & Co. after joining the judiciary.
She also said through lawyer Ochieng Oduol that there is no indication that the money allegedly for the purchase of 1,500 kilograms of gold by Bruton Gold Trading LLC, was transferred to her personal bank account.
“The orders are hereby extended until June 2, when the Court will rule on the application,” Judge Mabia said.
But the gold trader through the law firm of Murage Juma & Company Advocates said Ms Amadi’s son Brian Ochieng and Andrew Njenga Kiarie as agents for Amadi and Associates confirmed they had received the money and withdrew it.
The court was told there was no evidence that the money ever left the hands of Mr Ochieng and Mr Kiarie as agents of said law firm.
Mr Joseph Morag also told the court that a letter of introduction Ms Amadi sent to Bank ABC in June 2020 confirmed that she was still the owner of the law firm.
He added that there was nothing to show that she had resigned from the law firm other than a letter to the Law Society of Kenya stating her leave of absence from private practice.
“She is the registered owner of the company. It is also recorded that the second and third (Mr. Ochieng and Mr. Kiarei) registered another company KAN Advocates. If the court does not maintain the basis of the case, there is a risk that the funds held by Amadei will be removed from the jurisdiction of the court.”
In response, Mr Oduol said that the mere fact that the police investigated the matter did not mean that Ms Amadi was responsible.
The lawyer said that the court should study the facts and come to its conclusion. Mr Oduol added that the case was brought with the intention of discrediting Ms Amadi.
“It does not trade. The crux of the matter is that it ceased private practice in January 2014 and this lawsuit was brought for collateral purposes,” said Mr Oduol.
Solicitor Sam Nyaberi confirmed on behalf of Mr Ochieng and Mr Kyar that the law firm did not deal in gold but had been approached to enter into a warranty agreement for a company known as Universal Gold Logistics Ltd (UGL).
Mr Nyaberi also said that the guarantee agreement voids the jurisdiction of the court because there is a provision for arbitration in the event of a dispute.
Gold trader Demetrius Bradshaw, who holds a British passport, has been ordered to freeze the law firm’s bank accounts and those of Ms Amadi, after claiming he was defrauded of more than Sh100m in US dollars in 2021.
The merchant said the money was intended to buy gold bars, but the precious metal had not been delivered to the buyer in Dubai.
The other defendants in the case are Kekani Toputi, Daniel Ndegwa Kangara aka Daniel Mureithi and Edward Taylor aka Imburunda Senkulo Sakor, a holder of a Liberian passport.
Mr Ochieng, Mr Kiarie and Mr Topoti are advocates at the law firm Amadi and Associates, while Mr Kangara represented UGL and Mr Sakor was said to be the gold seller.
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