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Court Orders 7 Kenyan Banks to Pay Contractor Ksh1.1 Billion

by Annah Nanjala Wekesa
February 27, 2025
Reading Time: 4 mins read
Equity Bank Limited Lowers Interest Rates For 3rd Time

Photo collage of Kenyan Equity, KCB, and Co-operative Banks. PHOTO/Kenya

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The High Court of Kenya has ordered seven banks, including Kenya Commercial Bank (KCB), National bank, Equity Bank and Co-operative Bank, to pay over Ksh1.1 billion to a contractor owed by Moi University.

Other banks listed are, Access bank, Absa, and Standard Chartered,

This ruling follows a legal action by Vishva Builders Limited, which moved to court to recover the outstanding amount since 1990 when it was awarded a tender to construct the Faculty of Science building.

The seven banks were listed as interested parties in the Notice of Motion before the court.

On August 16, 2024, the company successfully froze three university accounts at the National Bank of Kenya, with a Ksh13.45 million attachment.

To recover the Ksh119.29 million balance, Vishva, through its lawyer Nelson Havi, asked Justice Anthony Mrima of the High Court in Eldoret to order the freezing of more accounts.

Moi University Contractor to Receive Ksh1.1B from 7 Banks

In September 2024, the contractor sought court orders to freeze Moi University’s 68 bank accounts in seven banks to recover Ksh132 million owed to him.

The company also wanted 36 National Bank accounts belonging to Moi University to be frozen due to the debt owed to them.

“The court should order the accounts attached and the money be paid to Vishva Builders Limited through its account number at Standard Chartered Bank Limited,” Havi wrote in the submissions.


Also Read: Safaricom Fined After Company Shares Ex-Employee ID


At the same time, the company sought for five Moi University accounts at Co-operative Bank Limited to be frozen in order to recover the remaining debt.

The contractor also requested the court to order the attachment of 12 accounts operated by the university at Kenya Commercial Bank Limited (KCB), as well as two accounts at Standard Chartered Bank Limited.

Additionally, Vishva demanded the attachment of six bank accounts at Access Bank Limited, two accounts at Equity Bank Limited, and five accounts at Absa Bank Limited, all owned by the university.


Also Read: Court Rules on Dismissal of UoN Council Chair Amukowa Anangwe


Vishva Builders Claims Ksh185M Unpaid Since 1990

The dispute between Vishva Builders and Moi University dates back to 1990, when the company was awarded the tender for the Faculty of Science building.

Vishva Builders claims that on May 24, 1990, it submitted a tender for a contract worth Ksh476.37 million for Phase 1 of the project, which was accepted by the university.

A formal contract was then agreed upon, with the project scheduled to take 130 weeks starting from June 21, 1990.

Vishva Builders later raised a certificate for completed works amounting to Ksh242 million, but the university only paid Ksh57 million, leaving a balance of Ksh185 million unpaid.

Vishva’s Managing Director Ramji Vekaria moved to court and said seven valuations were not paid and the work stalled.

Follow our WhatsApp Channel and join our WhatsApp Group for real-time news updates

Moi University administration block. Moi University administration block.
Moi University administration block. PHOTO/ Moi University.
Tags: Equity BankKCBMoi UniversityNational Bank
Annah Nanjala Wekesa

Annah Nanjala Wekesa

Annah Nanjala Wekesa is a journalist at The Kenya Times, with a passion for crafting news-worthy stories that leave a lasting impact. She holds a Bachelor of Arts in Communication and Media from Kisii University. She has honed her skills in the art of storytelling and journalism. Her passion lies in the art of storytelling that resonates with audiences, driving a commitment to delivering news-worthy stories through the lens of integrity and precision. She can be reached at [email protected]

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