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Stock deal on acquisition of Fourways Estate to stay
Tuesday, May 16, 2023
The Court of Appeal refused to suspend a deal made between Equity Bank and the directors of former Kiambu tycoon, Samuel Jatapke. file image | NMG
The Court of Appeal refused to suspend a deal between Equity Bank and the principals of a former Kiambu businessman regarding the acquisition of Fourways Junction Estate, off Kiambu Road.
Nancy Wanga Jatapaki and Josephine Beatriz Gathoni, who manage the estate of Samuel Jatapaki, wanted the court to annul the consent made in November 2021, alleging collusion and fraud in the process.
Part of the approval allowed them to purchase 19 homes at below market prices, and the family had to withdraw all claims against the bank.
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However, the officials claimed that part of the property seized by the lender consisted of the marital land and the ancestral land where Dr. Ghatapke was buried, and that if the suit property was sold to recover a loan, they would be left homeless.
Justices Kathurima Menotti, Emana Liputa and Helen Omondi ruled, “Accordingly, the applicants did not satisfy us that the intended appeal would be set aside if successful.”
The family objects to the approval, arguing that it was the product of collusion between their advocates of record and bank representatives.
Equity Bank opposed the request, considering that the approval order is a binding agreement between the parties to it, and it cannot be arbitrarily revoked.
approval order
The lender asserted that the principals wanted to take advantage of some parts of the approval order while others refused.
Moreover, the bank said that the correspondence exchanged between the two parties prior to the approval of the approval order showed that the officials had implemented parts of the approval order that were beneficial to them, such as the purchase of 19 units on the suit properties at below market price.
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Mrs. Gatabaki and her daughter claimed to be the beneficial owners of two plots of approximately 200 acres and approximately 6.53 acres respectively in Nairobi.
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