Mombasa Finance CEC arrested, held at Industrial Area prison

Arrest relates to contempt of court over non-payment of Sh76.5m debt by county.

In Summary
  • The arrest warrant was sought by Associated Automobile Distributors (K) Limited and issued on May 31, 2024 by Justice J Ngaah.
  • The court ruling shows that the matter relates to Oanda’s failure to pay the applicant a sum of Sh67,557,859.92 owed by the Municipal Council of Mombasa.
ARREST
ARREST

Mombasa County Finance CEC Evans Oanda has been arrested pursuant to a warrant of arrest issued for contempt of court, and he is currently in remand at Industrial Area GK prison in Nairobi.

The arrest warrant was sought by Associated Automobile Distributors (K) Limited and issued on May 31, 2024, by Justice J Ngaah.

 “You are hereby directed to arrest the said chief officer and bring before this court to show cause why they should not be committed to jail for six months or for such other period that the court may prescribe, not exceeding six months,” Justice Ngaah said.

“And you are further ordered to return this warrant with an endorsement certifying the date and manner in which it has been executed, or reasons as to why it has not been executed."

A police warrant certifying the execution of the warrant indicates that Oanda was taken into custody and is being held at the Industrial Area GK prison in Nairobi awaiting arraignment on Friday.

“This is to authorise and command you to receive the accused into your custody and produce the said accused in court at 9 am, or soon thereafter, on the 23rd day of August 2024,” the warrant of commitment to remand reads.

It was obtained by Murage Juma and Company Advocates for the applicant—Associated Automobile Distributors (K) Limited.

The Mombasa County Government has been listed as the first respondent and second contemnor in the case.

The court ruling shows that the matter relates to Oanda’s failure to pay the applicant a sum of Sh67,557,859.92 owed by the Municipal Council of Mombasa.

It states that the initial amount due was Sh17,751, 529.10 as of April 4, 2008, which Oanda was ordered by the court to pay in his capacity as the accounting officer of Mombasa County him being the Finance CEC.

The county was to pay the amount by way of monthly instalments of Sh1,000,000 but the amount had since initial judgement accrued interest to Sh67,557,859.92 as of 31st January 2024.

 “That the honourable court be pleased to issue a warrant of arrest against the named 1st and 2nd Contemnors herein to be committed to civil jail for failing to pay the Applicant the sum of Sh17,751, 529.10 plus interest,” Justice Ngaah said in his ruling.

Oanda finds himself in trouble vide a warrant of arrest issued on December 19, 2018, when the then Finance CEC, Maryam Mbaruk, was found to have been in contempt of court for failing to remit the Judgement Debt.

The arrest warrant was in force when she left office and she was replaced by Oanda.

"Going by my earlier ruling, I see no reason why the application should not be granted, at least to the extent of issuing a fresh warrant of arrest against the current holders of these offices," Justice Ngaah ruled.

Oanda faces up to six months imprisonment if found to be in contempt pending the hearing and determination of the application.

Case background

In an affidavit sworn by Benjul Gudka, a director of Associated Automobile Distributors (K) Limited, the company filed civil suit No. 1311 of 2000 against the county government of Mombasa on or about July 21, 2000.

The company was seeking a payment of Sh13, 541, 815.

On March 10, 2004, a consent Judgement was entered in favour of the company in the sum of Sh13,541,815 plus costs and interest at court rates from the date of default.

The county government undertook to pay the judgment debt in monthly instalments of Sh500,000 commencing April 11, 2004, and thereafter on the 11th day of each succeeding month until payment in full.

On September 22, 2006, an order of Mandamus was issued against the Town Clerk to pay the company Sh14, 369, 625.25 together with further accrued interest at court rates (12 per per annum) from August 1, 2004 until payment in full.

A Mandamus is an order from a court to a government official ordering the government official to properly fulfil their official duties or correct an abuse of discretion.

On or about March 21, 2010, a warrant of arrest was issued against the Town Clerk, Municipal Council of Mombasa, to be arrested and committed in civil jail for failing to pay instalments in the sum of Sh1,000, 000 per month as ordered on April 4, 2008.

On January 8, 2019, the Mombasa County government entered into another consent with the company and went ahead to pay Sh4,114,018.10 as a partial payment towards the judgment debt.

As of January 31, 2024, Mombasa County Government owed the applicant Sh67,557, 859.92.

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