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Thursday, October 27, 2011

Kajwang’, MP sued over clients’ cash



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By RICHARD MUNGUTI rmunguti@ke.nationmedia.com
Posted  Wednesday, October 26  2011 at  23:03
IN SUMMARY
  • Law Society seeks to recover Sh8.9m paid out as compensation to accident victims
A Cabinet minister and an MP have been sued for failing to remit Sh8.9 million they received as compensation for accident victims.
The Law Society of Kenya (LSK) is seeking orders to enforce decrees issued against Immigration minister Otieno Kajwang’, Kisumu Town West MP John Olago Aluoch and East Africa Legislative Assembly member Gervaise Akhaabi between 2005 and 2008.
Attract interest
The LSK wants to be allowed to enforce an order that Mr Kajwang’ pays a total of Sh326,000 to three claimants.
It is demanding more than Sh924,000 from Mr Aluoch while Mr Akhaabi is required to pay over Sh7 million.
In 2005, the LSK disciplinary committee ordered the minister to release Sh191,192.40 he had received on behalf of a former university employee, Mr Midirika Churchil Kibisu.
The amount was to attract interest of 12 per cent until payment was made in full.
When he failed to pay the money, Mr Kajwang’ was struck off the Roll of Advocates on July 13, 2005.
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The other claimant against Mr Kajwang’ is Mr Isaya Arusa Omayi, who is demanding Sh16,150. On top of the award, the minister was fined Sh5,000.
LSK lawyer James Nyiha says efforts by Expeditious General Merchant Auctioneers to recover the money have been unsuccessful.
A supporting affidavit by LSK secretary Apollo Mboya says Mr Kajwang’ did not challenge the disciplinary committee’s orders.
“The defendant has to this day failed, refused and or neglected to pay the full amounts together with costs and interests,” Mr Mboya says.
The LSK says Mr Kajwang’ has a ministerial salary and the money can be recovered from this.
Mr Aluoch failed to account for Sh924,000 he received from United Insurance Co Ltd.
In January 21, 2008 the disciplinary committee chaired by Prof Githu Muigai, now Attorney General, entered a judgment against the MP.
“We have no doubt that Mr Aluoch received Sh1.51 million on January 7, 2005,” ruled Prof Muigai and two members of the committee.
They said he, however, did not account for Sh924,000 of that money. He was also fined Sh50,000.
Mr Aluoch had obtained a judgment against United Insurance for the death of Mrs Margaret Abuoga’s husband who died in a road accident on May 4, 1996.
The LSK says Mr Aluoch has a salary as an MP and the order can be enforced.
Efforts to attach his property for public auction have been unsuccessful.
Mr Akhaabi could not account for Sh7.75 million of the Sh14 million he was ordered to pay Elvira Kamene Kamau as compensation for the death of her husband, Mr Kiraithe Nyaga, in a plane crash.
Struck off the roll
Mr Akhaabi deposited the money he received on behalf of the estate in a clients’ account instead of a joint fixed account as agreed with the administrator of the estate.
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He was struck off the roll of advocates on December 4, 2006, when he failed to remit the money.
The Sh7.7 million attracts an interest rate of 12 per cent.
LSK wants Mr Akhaabi’s salary at the EALA attached as payment for the Nyaga family.

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