Oct 21, 2021

Mawazo Writing Africa

Writing about the main

Lawyer Stephens Kithi charged over Sh1.1bn fraud

Mr. Stephens Kithi Ngombo has been charged in court for attempting to obtain the money from China Wuyi Kenya Limited. He pretended to be able to sell land to Tourism Finance Corporation.

The indictment shows that the suspect attempted to obtain Sh 1.09 billion from the company on July 30, 2016.

Mr. Ngombo is also accused of receiving Sh20 million from the company. He is accused of having received the money on April 18, 2017 by falsely pretending that it was a partial payment to secure the land. The attorney pleaded not guilty to the two offenses when he appeared before Senior Resident Magistrate Rita Amwayi.

Mr. Ngombo had asked the court to postpone the lawsuit in order to close a case he cited to allow the High Court he had filed.

Civil litigation

But the judge refused to allow the motion, stating that no High Court order had been served on her. who prevented the attorney from pleading the charges.

“I have nothing in front of me to allow this court to postpone filing complaints,” the judge said.

< p> She released Mr. Ngombo on bail of 500,000 Shillings, which he paid and left the courthouse.

The criminal complaint against the lawyer resulted from a civil dispute that was also filed against him. In 2019, the company sued the attorney in a civil lawsuit for reimbursement of the Sh20 million released to enable him to purchase additional land.

The company also sought reimbursement of the attorney’s Sh5.8 million in legal costs incurred as a result of the abandoned sale. The company said it had a sales agreement with Ngombo on or about July 30, 2016, who agreed to sell property to them.

Records show that the attorney, in his capacity as The contractor was a beneficial owner of the land who gained authority by allegedly winning an offer to sell the land on behalf of the registered owner. The agreed price was Sh 1.2 billion, and It was further agreed that upon payment of the deposit, the attorney would ensure that the tenants on the property are cleared and that all semi-permanent furnishings are removed.

Purchase price

According to the Law firm after execution of the contract The lawyer paid Sh 121 million, which corresponds to 10 percent of the purchase price, to an interest account at a bank, which is managed jointly by lawyers from both parties.

“On April 11, 2017, on On Ant According to the defendant, the plaintiff, through his lawyers, released Sh 20 million from the bail that was paid to be used for the purpose of free possession, ”reads part of the suit documents. The firm stated that the lawyer would need to designate you as the authorized acquirer to facilitate the creation of referral forms by the registered owner for himself. However, this was never done.

“Instead, the defendant presented a third party called Propken (Mauritius) Ltd, who allegedly held the rights of the acquirers to the property,” argued the Chinese law firm.

The firm said the attorney was fraudulent and misrepresented facts that at the time of the agreement it would have unsubscribed.

“To date, the defendant has not refunded the amount, despite the fact that the Agreement provides for a refund of all amounts immediately paid to the seller, “part of the state suit.