Alfred Mutua, the secretary for tourism, is being sued by a shareholder who wants him to pay Sh60 million for allegedly buying stock in a Lavington hotel.
Ubhi Ripthuman Sigh alleged in a petition submitted to the High Court that he and Mutua had struck into an agreement on October 6, 2022, under which he would sell 15 shares in the hotel Brazilian Rodizio Limited to the CS for the aforementioned sum.
The arrangement required that the money be sent to a joint account in the names of their attorneys within 30 days, but that did not take place, according to Sigh.
Sigh also asserted that it had been agreed that the company's directors would convene to authorize the deal and for him to transmit Mutua his legal ownership of the aforementioned shares.
Sigh claimed that the meeting did not take place in the lawsuit that names the CS, co-director Emily Chebey Loroupe, and the hotel as respondents.
The investor said that in an effort to obtain the claimed funds, he wrote to Mutua on June 28, 2023, making a formal demand for the payment, but that letter, in his opinion, was ignored.
According to Sigh, the former governor became the company's majority shareholder and a lawfully registered director after receiving the 15 shares.
He claimed that despite the fact that he is also a co-director, he has been excluded from participation in the management, decision-making, and day-to-day operations of the business.
The man worries that he will be exposed to liabilities to stakeholders and third parties in the event that the firm operations are mismanaged.
Sigh testified in court that although he just learned about different dealings and transactions in the firm accounts at NCBA bank's Lavington Branch, he never gave his approval or served as the company's authorized signatory.
Additionally, he claims that the respondents ignored his letters asking for copies of various firm records related to the Financial Year 2022–2023 from the respondents.
