Companies
Court throws out new bid to stop Tatu City transactions
Tuesday September 19 2023
Tatu City signage. FILE PHOTO | NMG
A new bid to stop further dealings at Tatu City over a shareholding row was defeated early this month after the High Court dismissed an application by a firm claiming to own four percent shares in the multi-billion shilling property in Kiambu County.
Justice Josephine Mong’are threw out the application by Dubai Gems Ltd, saying the firm failed to demonstrate that it has a stake in Tatu City.
The company moved to court in July stating that it is a limited liability entity with one shareholder, Elijah Njore Njoroge. The court was informed that the firm was incorporated in 2021.
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According to Mr Njoroge, his firm’s membership as a shareholder stems from a deed of transfer from one Stephen Mbugua Mwagiru pursuant to a power of attorney executed by one Etienne Deblar, allegedly the primary beneficiary to four percent of the management shares through subscription and shareholders agreement relating to Cedar IV Limited dated June 16, 2008.
Mr Njoroge sought from the court a temporary injunction restraining Tatu City from marketing, offering for sale or leasing, transferring, or entering into any contracts on the property in Ruiru, pending the determination of the case.
Tatu City, however, opposed the application through an affidavit of Mr Preston Marshall Mendedhall.
Mr Marshall told the court that the issues surrounding the ownership and shareholding of the company have been litigated at length and resolved in the various matters filed in court by various actors both in Kenya and elsewhere.
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“Having found that the plaintiff has not established a prima facie case to warrant a grant of the order of injunction, I find and hold that the application dated June 6, 2023, by the plaintiff has no merit and I hereby dismiss the same,” Justice Mong’are said.
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