Court declines to unfreeze accounts of Brazilian hotel associated to CS Alfred Mutua

A Brazilian hotel associated to Tourism CS Alfred Mutua has suffered a blow after the court declined to allow them access their frozen accounts.

The hotel Brazilian Rodizio is at the centre of ownership dispute between Mutua and Emily Loroupe against Ubhi Ripthuman Sighn who sued them.

Sighn who is also a co director has argued that Mutua and Loroupe have sidelined him from decision making in the hotel.

The hotel based in Lavington had filed an application asking the court to allow them access money to pay bills even as the case by Sighn proceeds.

The hotel wanted to access three bank accounts to aid in operations and paying bills .

In September, the court issued orders barring Mutua and Loroupe from withdrawing , transferring ,depositing or dealing with the monies held in three bank accounst belonging to hotel Brazillian Rodizio Limited.

In their application, the hotel said that it will not be able to continue with its’ business operations and functions for the part of the month of January, 2024, and from the month of February, 2024, onwards if it is not allowed to access its’ bank accounts and withdraw funds to meet its’ expenses including operational costs, salaries, requisite statutory deductions, rent, utilities as well as the business premises insurance.

The hotel says it needs Sh 10 M for the month of January, Sh 19 M for February and a further Sh 13 M monthly from March to keep the company afloat.

According to court papers, the hotel has not paid their January rent which is at Sh 1.5 Million.

In his case, Sighn has accused Mutua and Emily of mismanaging and sidelining him from decision making.

He claimed that he relieably learnt that several dealing and transactions had been effected adding that the transactions were never approved by him as a co-director.

Sighn says has several times requested that he be provided with copies of various company documents relating to thre financial year 29022/2023 but he has been ignored.

The case is before the Milimani commercial court and the judge is expected to determine the dispute issue even as the accounts remain frozen.

CH Reporter

CH Reporter

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