Nairobi News

There was twist in the fight for a multimillion shilling property on Monday when seven men dragged their aging fathers to court.

Mr Charles Njuguna, a lawyer, said the move by the men to take Mr Esrom Ngugi Maringa, 84 and Mr David Njane Ruiyi, 80 to court to face criminal charges was a retaliation for being dismissed as directors of Muguga Investment Company Ltd.

The old men were on Monday charged with making a document without authority.

The court was told that they produced a fake list of the investment company’s directors, saying it was issued by the registrar general on March 17.

FORGED COMPANY SEAL

“The charges were drawn upon complaints by the seven that the old men, who are the company’s shareholders, forged the company seal and changed the directors’ names. This was malicious, given that the same dispute is in the High Court,” said Mr Njuguna.

Mr Ruiyi was arrested on Friday and spent the weekend in a police cell. He was joined by Mr Maringa in court.

However, the pair did not plead after Principal Magistrate Daniel Musyoka allowed their request to defer the charges until the dispute in the High Court is heard and determined.

Mr Musyoka released them on a free personal bond until August 10 when he will get directions on the outcome of the case.

The charge was as a result of complaints by their sons: Mr Nicholas Kabucho, Mr Joe Gathu, Mr Joseph Karanja, Mr Paul Kinuthia, Mr Francis Kagwe, Mr Erastus Gathage and Mr David Muroki.

PRIME BUILDING

The dispute revolves around a prime commercial five-storey building in Eastleigh, Nairobi valued at Sh500 million and which generates a monthly rent of Sh640,000.

Acting as shareholders of the company and on behalf of 34 families who came together to form the investment group, Mr Ruiyi and Mr Maringa sued their sons for allegedly leasing out the property without their consent and misusing the company’s other investments.

The two men said they passed the company’s directorship to their sons due to their advanced age and mandated them to manage the firm on behalf of the beneficiaries.

They said the sons short-changed the shareholders and other beneficiaries by leasing the commercial building to Nuni General Trading Limited for 25 years.

“Alarmed by the conduct of the directors, we held a special general meeting of beneficiaries in December and resolved to remove them from the company. They, however, refused to hand over the properties’ titles in their possession and are in the process of disposing other assets,” said Mr Ruiyi.

ILLEGAL LEASE

In their submissions, the old men said the seven were suspended and could not claim to defend the company in the lease they illegally signed with Nuni Traders.

It was after the suspension and removal as directors that the seven sons made a report to the Directorate of Criminal Investigations, saying their fathers had forged the registration documents.

SOURCE: Daily Nation