Wetangula, Mungatana In Legal Battle Over Debt

Wetang’ula has told the court that sometime in 2010, he gave Sh12 million as a friendly loan to Mungatana who at the time had told him that he had a pressing issue.

In a suit filed against Mungatana, Wetangula has said that he gave the loan on the strength of an oral agreement with the former MP and Kenya Revenue Authority chairman.

In the documents filed in court, the CORD Senator says he gave Mungatana his personal cheques which were to be banked on the due dates.

He claims that the cheques Mungatana returned to him were unpaid by the bank for lack of sufficient funds.

According to him, the former Member of Parliament promised to repay the sum using other means after the cheques were dishonored.

Wetangula says Mungatana has never responded to his requests for payment or to his advocate’s letter nor fulfilled his promise.

According to the documents presented in court, Mungatana has denied having received the money.

Mungatana has claimed that if there was any money that he owed the CORD senator, he must have paid back in full and entered a final settlement.

In his reply to the accusations against him, Mungatana said that the entire situation is tainted with misrepresentation, mistaken  facts and non-disclosure of material facts and is therefore incompetent and bad in law.

The former Garsen MP similarly added that the cheques produced as support documents in the suit were the value of a principal sum given to the Senator and profit returns that were expected from a business deal they had executed together.

Mungatana says the cheques were therefore to be held as security pending the maturity of the deal and were not intended to be presented to the bank for payment.

The case is set to be heard on Thursday but was put off on request of the judge and will now be heard on December 8, 2014 before Mr Justice David Onyancha.

By Anne Muchiri

Tags:

debt Danson Mungatana Moses Wetangula citizen news Anne Muchiri legal battle

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