Creditor asks court to pick new Mumias Sugar administrator


Entrance gate at Mumias sugar company. PHOTO | ISAAC WALE | NMG

A creditor who filed an insolvency petition against Mumias Sugar Company now wants the official receiver appointed the administrator of the troubled miller.

Jackline Kimeto says in an application before the High Court that the official receiver should complete the administration process as had been directed by the court.

Read: Troubled Mumias Sugar gets new administrator

The lawyer who is demanding Sh76 million from Mumias Sugar pointed out that Harveen Gadhoke, who had been picked to be the administrator for a year, declined the appointment after allegedly being picked by police officers.

"Due to the withdrawal of Mr Harveen Gadhoke, it has now become necessary for the court to appoint a new administrator for the 3rd respondent company to undertake and complete the administration process as directed by this court," Ms Kimeto said in the application.

The application will be mentioned before Justice Josephine Mong'are on October 4 for directions.

The lawyer also wants KCB-appointed receiver manager PVR Rao compelled to file a full and comprehensive report of all activities and financial accounts he undertook since November 2021.

Ms Kimeto had filed a notice to withdraw the petition but changed her mind, saying she filed the notice under duress and coercion.

“In fear of my life and all the threats that I was receiving, I filed and paid for a notice of withdrawal dated 1st September 2023 in HC IP E004 of 2019 on the understanding that my debt would be settled within 1 hour of the said notice being filed as indicated,” Ms Kimeto said.

Read: PVR Rao reinstated as Mumias Sugar receiver manager

She added that although the debt has never been settled even after filing the notice for withdrawal, she considered the plan to settle the debt a product of blackmail by State agents.

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