The High Court has dismissed a bid by NCBA Bank to strike out a Sh94 million insolvency case against Buzeki Enterprises Limited filed by Bhachu industries on grounds that the debt was unclear.
The case was filed two years ago by Bhachu industries seeking to have Buzeki enterprises Ltd liquidated with the lender seeking over Sh1.3 billion from the firm associated with politician Zedekiah Kiprop Bundotich.
The bank argued that the case should have been filed in Mombasa county where Buzeki enterprises have offices and the case was brought to defeat the pursuit of its debt.
However, Justice Wilfrida Okwany said the contract between Buzeki enterprises and Bhachu industries was drawn and executed in Nairobi and the trailer manufacturer didn’t go wrong in filing the case in Nairobi, noting that the court had jurisdiction over the matter.
In 2020, NCBA had sought to block Landmark Port Conveyors Ltd from auctioning 53 trucks and trailers belonging to Buzeki over a Sh118 million loan.
On its part, NCBA demands more than Sh1 billion from Buzeki enterprises for a loan used to finance purchase of 289 trucks and 141 trailers between 2006 and 2016.
