No Where to Take His Billions! Paul Kobia Losses Case Against Local Bank

42123 views

Controversial businessman Paul Kobia has suffered a huge blow after the commercial court declined to compel Barclays bank not to close his accounts.

The bank had informed the controversial billionaire on December 14, 2018, that after reviewing his business, it had decided to close his three accounts. 

The lender also said that it was going to return the billions Kobia had banked with them. 

“As a result of this decision, your accounts or products will be closed with effect from January 14, 2019,” Barclays bank wrote to Kobia.

City Tycoon Paul Kobia showing off his expensive cars. Photo/Courtesy

Kobia further suffered another setback after his lawsuit against the Central Bank of Kenya and the Attorney General was thrown out of court.  

The city tycoon sued CBK and the Attorney General, accusing them of influencing the bank’s decision to turn away his billions 

Through his lawyers, Kobia argued that the CBK and AG had interfered with how the bank conducted its business.  

He requested the court to bar CBK from imposing the rule on how bank customers should transact. 

The flamboyant businessman wanted the court to compel Barclays bank not to close his accounts. 

The politician stated that the decision to close his accounts had adversely affected his business by preventing him from accessing millions of shillings from his business associates and partners globally. 

City billionaire and politician, Paul Kobia. Photo/Courtesy

Kobia however refused to disclose the nature of his business saying that it demands total confidentiality. 

He further defended himself, stating that he has never been investigated for any economic-related crimes or money remittances therefore the bank had no reason to decline his money. 

Commercial court judge Wilfrida Okwany in her ruling stated that there was no evidence to show CBK had a hand in it. 

“Looking at the letter in question, this court is unable to find nexus between the threatened closure of the petitioner’s bank accounts and any action by the respondents herein so as to justify the granting of the orders sought in the petition,” the judge ruled.  

This is not the first time the controversial billionaire has found himself in loggerheads with the government. 

Kobia had his offices and home raided by the police in the June 2019 raid, in which money counting machines and an assortment of stamps and seals were recovered. 

 

Do you have a story you wish to tell? Oppressed at your work place? You have news? Tips? Exposé? You need to be heard??

The Kenyan Herald will carry your story. Share with us on email editor@kenyan-herald.com or info@Kenyan-herald.com or news@Kenyan-Herald.com

Do you have a comment about this article?