State ordered to pay businessman Sh15million for erroneous drug charges in vitamin shipment
Businessman Peter Maina Mugambi and his company, Kinetic Resources Limited, successfully sued the State for malicious prosecution following a criminal case that stemmed from the importation of 200,000 multivitamin capsules from China in 2018.
The government has been ordered to pay a businessman more than Sh15 million in compensation after a court found that anti-narcotics officers and prosecutors wrongly accused him of trafficking drugs over a shipment that was later confirmed to be multivitamin capsules.
Businessman Peter Maina Mugambi and his company, Kinetic Resources Limited, successfully sued the State for malicious prosecution following a criminal case that stemmed from the importation of 200,000 multivitamin capsules from China in 2018.
In a judgment delivered by a magistrate’s court, the court found that investigators and prosecutors acted prematurely by charging Mugambi before obtaining conclusive laboratory results on the contents of the consignment.
Court documents show that Mugambi imported the capsules from China’s Shandong Runxin Biotechnology Co. Ltd at a cost of $100,000, approximately Sh12.9 million, after obtaining the requisite approvals from the Pharmacy and Poisons Board.
The consignment arrived in Kenya in April 2018 and was diverted to Eldoret International Airport for customs clearance.
However, anti-narcotics officers detained the shipment after suspecting that it contained methaqualone, commonly known as Mandrax, a prohibited psychotropic substance.
Mugambi was arrested on April 27, 2018, following searches conducted at his office in Kasarani and his residence. During the operation, officers recovered a Ceska pistol, ammunition and a holster.
He was later arraigned before the JKIA Law Courts alongside other suspects and charged with trafficking psychotropic substances.
He also faced charges related to possession of a firearm and ammunition without a valid firearm certificate.
The criminal proceedings continued for more than three years before the Director of Public Prosecutions withdrew the charges in September 2021 under Section 87(a) of the Criminal Procedure Code, effectively ending the prosecution without a conviction.
Mugambi subsequently filed a civil suit against the State, accusing investigators and prosecutors of violating his constitutional rights and subjecting him to malicious prosecution.
Through his lawyer, he argued that the authorities rushed to charge him before laboratory tests had established whether the capsules contained any prohibited substances, maintaining that the shipment comprised legitimate multivitamin supplements duly approved by regulators.
In its ruling, the court agreed with Mugambi, finding that the prosecution was malicious and unsupported by evidence.
The magistrate noted that findings by the Government Analyst did not support claims that the imported capsules were narcotic drugs.
“It is evident that the consignment of multivitamins imported by the plaintiffs from China was not narcotic drugs and that the plaintiff was a licensed firearm holder,” the court stated.
The magistrate further held that the arrest and prosecution were initiated before investigators had completed adequate inquiries and that the evidence available at the time did not justify the charges preferred against the businessman.
The court awarded Mugambi and his company $100,000, equivalent to about Sh12.9 million, being the value of the seized consignment, Sh1.8 million to cover legal expenses incurred in defending the criminal case, and Sh2 million in general damages for malicious prosecution, unlawful arrest and detention.
The court also directed that the firearm, ammunition and related items seized during the investigations be handed over to the Firearms Licensing Board for vetting.
The Attorney-General, the Director of Public Prosecutions and other State agencies had opposed the suit, arguing that investigators acted within their legal mandate and relied on information available at the time of the arrest.
They urged the court to dismiss the claim, insisting that the prosecution was lawful and free from malice.
However, the court found that Mugambi had proved his case on a balance of probabilities and was entitled to compensation for the losses he suffered as a result of the unjustified prosecution.
