Absa Bank Kenya has moved to court to block attempts by the police to take over 17 of the 44 vehicles that were seized from collapsed Italian firm CM Di Ravenna about three years ago.
The lender says in an application to be heard on November 16 that it has an interest in the 17 vehicles, which are currently being held by the Directorate of Criminal Investigations (DCI).
The DCI through the serious crimes unit filed a petition before the Nairobi chief magistrate court seeking the release of the 44 vehicles, saying the government wanted to use them.
But Absa rushed to court last week, saying 17 of the vehicles were security for a finance agreement between the lender and CMC Di Ravenna.
The lender says it financed the purchase of 98 motor vehicles for Sh585 million, through an agreement signed with CMC Di Ravenna on May 23, 2017, and it first released a loan of €1 million in 2017 and the second batch of €3 million was advanced to the Italian firm on June 14, 2018.
“That it is clear from the agreements entered into between the first respondent (CMC Di Ravenna) and the applicant (Absa) that the applicant is a secured creditor as the motor vehicles listed were offered to it as security and charged to it,” said lawyer Diana Ogula for Absa.
She added that the vehicles were illegally impounded by the DCI and have refused to release the motor vehicles despite being served with a court order.
Thomas Tanui, an officer from the DCI, said in the application that the directors of the Italian company were to be charged with corruption and economic crimes over the construction of Arror and Kimwarer dams in Elgeyo Marakwet county for Sh63 billion.
