Pattni withdraws court cases on duty-free shops

Businessman Kamlesh Pattni has withdrawn all cases against the Kenya Airports Authority (KAA) over the duty-free shops at Jomo Kenyatta International Airport, saying he wanted to live in peace.

The announcement Monday came as KAA and two companies associated with Pattni — Diplomatic Duty Free (DDF) and World Duty Free (WDF) — engaged in negotiations for an out-of-court settlement of the dispute.

“Today I am here by the will of Almighty to give up on my long running disputes over the Duty Free with KAA,” said Mr Pattni.

Transport secretary Michael Kamau said Pattni had renounced the controversial Sh4.2 billion awarded to him by retired judge Edward Togbor. KAA has been battling the award in court.

“After a struggle spanning the last 25 years, Kenya Airports Authority has reclaimed its premises,” said Eng Kamau.

On September 3, KAA and Pattni told Justice George Kimondo that negotiations were ongoing over shops belonging to DDF, which were demolished a month ago.

Airport inferno

Unit Two at the JKIA, where the shops were situated, was days later gutted down by an inferno.

KAA also demolished duty free shops managed by WDF at the airport. The shops were acquired by Mr Pattni from international businessman Nassir Ibrahim Ali  in the early 1990s.

Both DDF and WDF were asking the court to reinstate them into their destroyed premises.

The negotiations on the demolished premises started about a month ago and were to be concluded within a week. The judge had directed the parties to return to court on September 27 for further directions.

The ceding of the shops by Mr Pattni’s follows in his earlier steps when he returned the Grand Regency Hotel to the Central Bank of Kenya. The hotel was later controversially sold to Libyan investors and renamed Laico Regency.