Ex-Charterhouse Bank boss wants probe on scam stopped
The Central Bank of Kenya headquarters in Nairobi. FILE PHOTO | NMG
What you need to know:
Sanjay Shah, former managing director of the bank, has sued the Ethics and Anti-Corruption Commission in a bid to obtain a report that saw the Central Bank of Kenya put the lender under statutory management in 2006.
Mr Shah is also seeking to have the EACC stopped from investigating any other alleged money laundering or economic crimes at the bank between 2004 and 2014.
Justice Korir directed that Mr Shah serves the respondents, and set September 17 as the hearing date.
A former managing director of the Charterhouse Bank has moved to court seeking to quash a parliamentary report that accused him of being involved in a Sh18 billion money laundering scandal.
Sanjay Shah, former managing director of the bank, has sued the Ethics and Anti-Corruption Commission (EACC) in a bid to obtain a report that saw the Central Bank of Kenya (CBK) put the lender under statutory management in 2006.
The report, according to Mr Shah, stated that he was involved in several acts of corruption, money laundering and other economic crimes.
Mr Shah is also seeking to have the EACC stopped from investigating any other alleged money laundering or economic crimes at the bank between 2004 and 2014.
“EACC has not given any investigatory progress and investigations cannot be carried out for 10 years without some sort of conclusion,” said Mark Ngatia, Mr Shah’s advocate.
Mr Shah said EACC raided the bank’s premises on Kijabe Street in Nairobi in 2004, and took away documents with data regarding their depositors.
“Two weeks later CBK decided to do an impromptu investigation when they discovered the documents were missing. It became apparent that there was a task force formed to investigate allegations of money laundering and other economic crimes. This resulted in the said report,” said Mr Shah.
Mr Ngatia told High Court judge Weldon Korir that his client was denied a visa to the UK for emergency treatment on his back last November because of his alleged involvement in the Sh18 billion scandal during his tenure at the bank.
After being denied the visa, the applicant wrote to the EACC seeking clarification on the allegations in the report, and even managed to secure a meeting with the anti-corruption agency this year.
“Mr Shah wrote another letter on February 12 seeking points he wanted clarified. The meeting happened on February 14 where EACC said it would send Mr Shah a response in 30 days.
“He wrote another letter on June 4 reminding them that they were yet to respond, to which the letter has never been responded,” added Mr Ngatia.
The former Charterhouse Bank managing director also wants the EACC compelled to return the documents taken during its investigations into the bank 10 years ago.
Justice Korir directed that Mr Shah serves the respondents, and set September 17 as the hearing date.
