The High Court has frozen over Sh300 million belonging to Kimaco Connections Limited over suspicion that they are proceeds of crime.
Justice James Wakiaga ordered the amounts – Sh251,154,214 million held at Diamond Trust Bank, Nation Centre Branch in the name of Kimaco Connections Limited and Sh50,269,766.33 held at Cooperative Bank in the name of Kimaco Connections Limited, be preserved, pending the determination of a case filed by Assets Recovery Agency (ARA).
The Court further prohibited Pescom Kenya from withdrawing or transferring Sh2,496,670.75 held at NCBA Bank belonging to the same company.
“The court do issue a Preservation Order prohibiting the Respondent, its employees, agents, servants or any other persons acting on their behalf from transacting, withdrawing, transferring, or dealing in any manner howsoever in respect of any profits or benefits derived or accrued from the specified funds”, urged the agency.
Preliminary investigations by ARA allegedly established that the legal entities associated with Peter Kiilu Makau and Consolata Mwende Kiilu.
The companies include Kimaco Connections Limited, Pescom Kenya and Power Energy International Limited. The agency believes the companies are involved in a complex scheme of money laundering designed to conceal, disguise the nature, source, disposition and movement of the illicit funds.
The agency told the court that Mr Kiilu and Consolata are the ultimate beneficiaries of the accounts held in the name of Kimaco Connection limited and Pescom Kenya.
Investigations have also established that Kimaco connections limited is also involved in the tax evasion, after filing Nil returns with Kenya Revenue Authority despite receiving Sh641,763,956 in its Co-operative bank account suspected to be proceeds of crime.
The agency adds that there are reasonable grounds and evidence demonstrating that the funds held by the Respondents in the bank accounts are direct or indirect benefits, profits or proceeds of crime obtained from a complex money laundering scheme and are liable to be forfeited to the State under the Proceeds of Crime and Anti-Money Laundering Act 2009.
“There are no Court Orders currently preserving the assets in issue and there is imminent danger the Respondents shall dispose, transfer and dissipate the said assets unless this Honourable Court issues preservation orders as prayed in this application”, adds the agency.
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