Gichuru fights Jersey’s February seizure of his Sh520m hidden wealth

Former Kenya Power managing director Samuel Gichuru has launched a fresh legal battle to reclaim the more than Sh520 million that Jersey authorities took from him after his company pleaded guilty to money laundering in the British Crown dependency.

Mr Gichuru has now disowned the plea of guilt that his company, Windward Trading Limited, allegedly made before Jersey’s Royal Court, leading to the confiscation of the assets. 

The former Kenya Power boss, who has been fighting extradition to the British island since 2011, has fired off a protest letter to the Solicitor-General of Jersey insisting that persons unknown to him represented Windward in a court process that took only 16 days before his assets were taken.

Windward, a Jersey-registered company, reportedly pleaded guilty to four counts of money laundering at Jersey’s Royal Court on February 24, prompting the court to issue orders to seize the £3.28 million and $540,330.69 (Sh520 million) held in the firm’s offshore account.

READ: Jersey authorities seize Gichuru, Okemo’s hidden Sh520 million

Mr Gichuru reckons that his lawyers in Jersey were not aware of the court proceedings and that he never issued instructions to any persons to represent Windward in the Royal Court — raising the question as to who pleaded guilty to the offence.

In his letter to the Jersey authorities, Mr Gichuru wants the court to provide him with details of the persons who allegedly represented him in the proceedings and the basis of their authority to commit the company to any matter.

“Kindly provide us with an indication of the persons who represented the company, details of the capacity of the said persons, the nature and basis of their authority to commit the company and their role in the events giving rise to the charges and any statements made by them in the context of the proceedings,” Mr Gichuru says through his lawyer, Gershom Otachi, in a letter dated May 26.

Mr Otachi is the managing partner at Ogetto Otachi and Company Advocates.

“Clarification [is sought] as to whether my client’s lawyer on record in Jersey was invited to participate in the proceedings or if not, who represented my client’s interests in the proceedings and whether any notice of the proceedings was indeed issued to my client,” Mr Otachi says.

Yesterday, the Jersey Court hit back insisting that Windward pleaded guilty to the bribery charges.

“Just to be clear, the company pleaded guilty, as recorded in the judgment. We do not have plea bargains in Jersey,” Alec Le Sueur, the practice manager and director of administration at the Jersey law officers’ department, said in a statement.

Jersey’s Attorney-General, Robert MacRae, commenced the forfeiture proceedings against Windward Trading on February 8 leading to the February 24 judgement.

Royal Court records indicate that lawyer O.J. Passmore represented Windward and court proceedings started days after a new trust fund, Zedra, assumed directorship roles in Mr Gichuru’s company.

This means it was the new directors that authorised Windward’s guilty plea in the matter that has set Mr Gichuru more than half a billion shillings back.

Zedra assumed the directorship role at Windward in late January after it acquired the majority stake in the offshore trust business of Barclays — which was for years the managing trustee of Windward.

Questions trial process

Mr Gichuru insists that those who committed Windward to the court process should have sought his authority and that of his lawyers, even as he questions whether a trial actually took place.

“Was there a trial/hearing leading to the conviction of the company and if so were the proceedings held in public? Kindly provide the transcripts of the hearing and the judgment,” Mr Gichuru says in the letter, which also asks the court to furnish him with the relevant documentation.

Mr Gichuru wants to know why directors of Windward were not punished as was the case for UK printing firm, Smith and Ouzman, which was fined and its directors jailed for paying out bribes codenamed ‘chicken’ to Kenyan electoral and examination officials in exchange for contracts.

The Jersey Court in its judgment absolved the directors of Zedra, who had been in charge of Windward for only a month when the seizure decision was made.

“The wrongdoing on the indictment took place between 1999 and 2001, at least nine years before the current directors assumed office in 2011,” the judgment says.

“The current directors do not have any role whatsoever in the offences alleged in the indictment. No criminality or wrongdoing of any kind is alleged against the current directors.”

Security printing firm Smith and Ouzman was ordered to forfeit almost £400,000 (Sh56 million) to Kenya, fined £1.3 million for bribery and its owners disqualified from holding directorships in the company for six years.

None of the Kenyans who ate the ‘chicken’ have been charged in court to date, more than a year after London convicted and jailed Smith & Ouzman directors for bribing them.

Jersey has been seeking the extradition of Mr Gichuru, as well as former Energy minister Chris Okemo, since 2011, but the Kenyan courts have yet to resolve the matter.

READ: Gichuru, Okemo withdrew Sh470m before Jersey accounts freeze

ALSO READ: Ex-minister wins court reprieve in extradition case

The Court of Appeal in January temporarily stopped the extradition of Mr Gichuru and Mr Okemo after the two contested a High Court decision that allowed their transfer to the European island to face criminal charges.