Customers want to be enjoined in case against Imperial Bank

Imperial Bank customers and depositors now want to be enjoined as interested parties in a suit filed by the bank seeking to recover 42. 4 billion shillings from its former directors and shareholders. The customers argue that they are the largest stakeholders and suffering the most due to alleged illegalities that took place at the said Bank.

“The depositors and their families are already suffering due to illegalities at the said bank,” says the depositors. They further argue that their businesses have suffered huge losses due to lack of working capital.

Judge Fred Ochieng directed that the matter be heard by Justice Francis Tuiyot Wednesday, October 5 morning.

In the main suit, Imperial Bank Limited, Kenya Deposit Insurance Corporation and Central Bank of Kenya have moved to court against 18 its former directors seeking to recover 42. 4 billion shillings from and shareholders.  The petitioners argue that the said monies have been stolen from its customers due to negligence, gross negligence, and breach of trust.

In a case filed at the Milimani Law Courts, Commercial division, the bank argues that the forensic investigations conducted by FTI consulting firm over the financial irregularities at the bank, has revealed multiple breaches of financial duty on the part of the defendants leading to massive, complex and long running and well-orchestrated fraud at the Imperial Bank Limited that resulted into loss of the bank’s assets and Depositors Funds.

“The defendants are liable for all loss and damage caused by their negligence, gross negligence, breach of fiduciary duty, “states the petition.