Bank of Baroda ordered to pay Ksh.2.996 billion in industrial park dispute

The High Court has ordered Bank of Baroda (Kenya) Limited to pay Infinity Industrial Park Limited Ksh.2.996 billion in special damages in a commercial dispute arising from the development of an industrial park in Nairobi.

The decree, issued on September 1, 2026, followed proceedings in High Court Commercial and Tax Division case before Justice Peter Mulwa.

According to the court decree, Infinity Industrial Park had initially sought several orders against the bank, including a permanent injunction to stop the lender from selling or otherwise dealing with land known as LR No. 31978 (Original No. 11522), located in Njiru along the Eastern Bypass.

The company had also sought an order compelling the bank to approve a Ksh.650 million development loan for the construction of a second cluster of 50 warehouses, or alternatively release a further 15 acres of the project land to enable it to obtain financing from other financial institutions.

Infinity Industrial Park further alleged that delays by the bank in releasing land documents and portions of the project land had affected the development and sale of warehouses and serviced industrial plots.

The company had claimed that the delays, together with the effects of Covid-19 and an election year, resulted in significant losses and disrupted its cash flows.

However, the court records show that Infinity Industrial Park subsequently withdrew most of its prayers.

A notice of withdrawal dated August 6, 2026, was allowed and adopted by the court. The withdrawn prayers included those seeking injunctions, additional financing, release of land, declarations of breach of contract, an additional 15-month moratorium, relief concerning credit reference bureau listings and general damages.

The court nevertheless entered judgment in favour of Infinity Industrial Park for special damages amounting to Ksh.2.996 billion.

Following the judgment, the court on September 15, 2026 issued a warrant of attachment against the bank's movable and attachable property to recover the decretal sum.

The warrant, signed by Deputy Registrar Stellah N. Sagwe of the Milimani High Court Commercial and Tax Division, puts the amount due at Ksh.2,996,003,000, comprising the Ksh.2.996 billion decretal amount, Ksh.1,500 in further costs and a further Ksh.1,500 collection fee.

The warrant directs Moran Auctioneers of Nairobi to attach the bank's movable property sufficient to satisfy the outstanding amount and costs of attachment.

The auctioneer has also been directed to sell the attached property by public auction after giving the required 15-day notice and completing the necessary proclamation process.

The warrant is to be returned to court by October 15, 2026, with an endorsement showing how it was executed or explaining why it could not be executed.

The court document further states that the attachment is in execution of the decree issued in favour of Infinity Industrial Park in HCCOMM No. E322 of 2024.

The case now places Bank of Baroda at risk of having its movable assets attached and sold if the decretal amount remains unpaid, subject to any further orders or proceedings before the court.