Kenya: High Court Lifts Freeze on Accounts of Three Companies

10 September 2022

Nairobi — The High Court has lifted orders freezing millions of cash belonging to three companies.

This is after the accounts ofAvalon Offshore Logistics Limited, OIT Africa Limited and Remix Capital Limited were frozen in April over money laundering allegations.

Avalon holds a total of Sh43 million at Equity Bank, OIT Sh5 billion at Equity Bank and United Bank of Africa while Remix Sh765 million at United Bank of Africa.

The Court had earlier prohibited them from transacting, withdrawing, transferring, and/or dealing in any manner in any profits or benefits derived or accrued from the said funds.

"Orders of preservation are hereby granted prohibiting the respondents and/or their representatives, employees, agents, servants, or any other person acting on their behalf from transacting, withdrawing, transferring and/or dealing in any manner howsoever in respect of the said funds," ruled the Deputy registrar.

According to the investigating officer Fredrick Musyoka, the agency received information on 11th February 2022 on a suspected case of money laundering schemes and acquisition of proceeds of crime involving multiple money transactions.

"These transactions are conducted through bank accounts of the respondents in US dollars and Kenya shillings mainly from foreign jurisdiction whose source has no legitimate explanation," he had stated.

"The respondents are suspected to be part of a syndicate involved in a complex money laundering scheme and their bank accounts are used as a conduit of complex money laundering," officer Musyoka said.

The court heard that investigations have established that the respondents executed a complex scheme of money laundering designed to conceal, disguise the nature, source, disposition and movement of the illicit funds.

Officer Musyoka further said that there are reasonable grounds and evidence demonstrating that the said funds are direct or indirect benefits, profits and/or proceeds of crime obtained from a complex money laundering scheme and are liable to be preserved pending the hearing and determination of the intended forfeiture application.

In addition, the court was informed that there is imminent danger the respondents shall dispose, transfer and dissipate the said assets unless the court issued the preservation orders.

"It is in the interest of justice that preservation orders do issue prohibiting the respondents and/or their agents or representatives from dealing in any manner with the aforementioned assets," Musyoka said.

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