Kibaki back in court over control of disputed firm
Former President Mwai Kibaki and the director of a company they claim to have owned since 1970s have filed an appeal after losing control of the business enterprise.
Mr Kibaki and Kimwatu Kanyungu want the Court of Appeal to overturn the orders issued by the Lands and Environment Court directing the two factions of the Mathingira Wholesalers Company Ltd to manage the company jointly.
This denied Mr Kibaki and five other directors an opportunity to exclusively run the company.
Through lawyer Kamau Kuria, the two also want the Appellate court to quash the directive that the company elects new board officials to run its affairs and access bank accounts.
They want the directors currently running the firm be removed and the control be reverted back to them.
The disputed 0.0697 hectare land, where the Mathingira Wholesalers Company Limited is housed, was bought by nine members including the former president in the 1970s. They later incorporated it as a wholesale company in 1983, located in Nyeri town.
Mr Kuria indicated that the retired President and Mr Kanyungu were not heard by the judge, Justice Lucy Waithaka under the Lands and Environment Court when she delivered the earlier judgement that allowed all the feuding directors and owners to manage the firm.
In the notice of motion, the lawyer added that some parties in the suit, whose dispute started in 2008, died during the tenure of the suit and no replacements were made. He indicated that Justice Waithaka ignored the principle that equity follows the law.
The dispute arose after the company’s directors disagreed on its management after a new chairman was elected into office in October 2007 replacing Mr Kanyungu. The court heard that Mr Kibaki and his seven friends, including his brother Samuel Githinji, acquired the protracted property in 1983 and were registered as the first shareholders and directors of the company.
The shareholding of the company also changed after due to transfer of shares by some of the initial proprietors of the company and inheritance.
The ownership row of Mathingira peaked when people alleging to be new directors of the firm moved to court and sued former directors including Mr Kibaki, Mr Kanyungu, Mr Kiiru Gachuiga, Mr Gadson Gitonga, Mr Kibera Gatu and the former president’s brother over ownership.
The two want the Appellate court to quash directive that the company elects new board o icials to run its affairs
SUIT Former President Mwai Kibaki.