A Magistrates court has put on hold the Sh4.5 billion fraud case facing Savannah Clinker company Chairman Benson Ndeta pending determination of a case challenging his prosecution at the High Court.
This is after Ndeta through advocate Cecil Miller told the court that they obtained orders on Friday stopping his prosecution. Ndeta was charged on Friday before Magistrate Gilbert Shikwe.
He was to remain in police custody till Monday (today) pending a bail ruling.
But he managed to obtain orders the same day at the high court stopping his charging before Justice Bahati Mwamuye. The Judge also ordered that he be released immediately if he was already in custody.
The magistrate's court was appraised of the new developments and subsequently directed the matter be mentioned on January 30 awaiting the High Court's determination.
Ndeta spent the weekend at Muthaiga Police Station after he denied charges of conspiring to defraud Sh4.5 billion from ABSA Bank.
Ndeta who appeared before Milimani Magistrate Gilbert Shikwe was charged with various offenses ranging from conspiracy to commit a felony, uttering false documents, making a document without authority and obtaining credit by false pretenses.
He denied all these charges and immediately his legal team led by Cecil Miller rose on his feet to make a bail application.
But the prosecution was opposed to it painting a picture of an accused person who was likely to abscond.
They relied on an affidavit sworn by the Investigating officer in the case who stated that the State said granting him bail would allow him the opportunity to flee the country, tamper with evidence, or influence witnesses.
The court heard that the accused has not disclosed his place of abode making him a flight risk.
"The accused person is the chairman of Savannah. He is a person of interest and the complainants are his co-directors. There is a likelihood that he will interfere with witnesses,’ the prosecution said.
The court also heard that the funds which are the subject matter of the charges before court have not been recovered and they suspect they could have been wired to offshore accounts, something they need to establish.
