Businessman jailed for failing to pay motor company Ksh.11.9 million
A businessman has been jailed six months for failing to pay a motor company Ksh.11.9 million.
Johnson Kigundu had been ordered to pay A-Plus motors Limited but failed to do so thereby forcing the court to issue the judgement.
In the case, the businessman is accused of defrauding A-Plus motors limited manager James Muturi of Ksh.5.3 million in a land deal.
It is alleged that the two entered an agreement to have the land sold at Ksh.34 million.
According to court papers, Kigundu was given Ksh.5.3 million shillings as deposit. However upon investigations by Spire bank which was financing the balance, it was realised that he had not paid the stamp duty for the transfer.
The court was told that he offered to return the money but in vain.
The court directed that he should pay a sum of Ksh.5.3 million plus interest from the date of payment to the date of full reimbursement.
He was also ordered to pay Ksh.3.4 million being the 10 per cent damages payable for breach of contract, legal fees of Ksh.620,600 and valuation fees of Ksh.80,000.