Monday, May 27, 2024

Tuju and his family now face bankruptcy charges

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Tuju Net Worth: Financial troubles that are currently bedeviling Cabinet Secretary without portfolio are not about to end. The CS is now facing the threat of being declared bankrupt, which will effectively bar him from holding an elective office.

The East African Development Bank (EADB), which is engaged in a vicious battle over a loan given to Tuju amounting to Sh. 1.6 billion has asked the court to dismiss a petition filed by Tuju and his children seeking to stop bankruptcy proceedings against them.

“Accordingly, the court should dismiss the present application and proceed to the bankruptcy application to allow the applicant an opportunity to show the value of the security exceeds the demand,” says EADB in court filings.

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The bank is seeking to have Tuju and his children Mano Tuju, Alma Tuju and Yma Tuju delared bankrupt. But Tuju and his kids say that EADB must first pursue Dari for the debt, and not the guarantors who are his kids. They also argue that the bank is holding security whose value can clear the debt. “The failure on the part of the creditor to comply with the law and to acknowledge the full extent of the securities held is selective disinformation and is willfully designed to mislead the court and ultimately to rob the debtor of their constitutional right to property,” said Mano Tuju.

The Tuju’s also say that a valuation conducted on the property in 2015 show that the property has a combined market value of Sh. 1.84 billion, which is in excess of the Sh. 1.6 billion that EADB is asking for.

Mr. Tuju has unsuccessfully been fighting off EADB. He lost a court case in the United Kingdom, and a subsequent appeal in Kenya which paved way for EADB to auction off the property over the loan.

Initially, Tuju had taken a loan of Sh. 900 million. This amount was meant for the construction of Sh. 100 million two-storey, flat-roofed bungalows sitting on a 20-acre forested land dubbed Entim Sidai and the purchase of a 94-year-old bungalow built by a Scottish missionary, Dr Albert Patterson, which currently operates as a high-end restaurant. Tuju Net Worth.

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