NIC bank has now opted to sue former Kisumu Town MP Kennedy Nyagudi  and unnamed media personalities for alleged contempt of court.

However, there is no order as yet barring the publication and broadcast of court proceedings in a case in which the former Mp wants the bank compelled to reveal details of  bank accounts through which  transactions were effected without his consent despite being an immediate signatory.

It was not lost on Nyagudi’s  lawyer, Eddy Orinda, that to- date there exists no court order that NIC can claim to have been violated, especially after it failed a few months ago, in the first instance to bar the media from publishing the proceedings.

Open the link below for a backgrounder;

NIC bank fails to gag media in court case implicating it in mega fraud

The banks application seeking a gag order against the media is yet to be heard and the trial court has directed that parties return to court in January for “directions.”

Nyagudi says the bank has defied a court order granted to the Banking Fraud Investigations Unit to offer account details of Amaya Gaming Group, where the former lawmaker has a 15 per cent share.

Local directors

He sued sued NIC Bank and gaming firm’s officials, David Baazov, Daniel Sebag and Benjamin Ahdoot, accusing the lender of helping the Canadians to open accounts that were used to siphon KSh73 million meant for aid and his share of KSh600 million collected by the lottery.

 NIC has been seeking a reversal of the court order at the court of appeal and a determination is yet to be made.

The documents in question include a copy obtained by NIC showing the local directors of Amaya, copies of photos and IDs of the directors, bank account statements from 2010 and 2018, minutes and resolutions of Amaya on the bank account signatories and authority from the company to appoint it as their banker.

NIC bank has persistently and deliberately refused to produce the documents as requested for five years ago and as ordered by the court and instead has logged a side-show to silence the media,  a move widely seen as to delay the hearing and determination of the main case.

Bank accounts

Nyagudi in his suit has stated that Baazov,  Sebag and  Ahdoot secretly opened bank accounts at NIC, which were used to channel money earned from Amaya’s operations out of the country and away from the charity of Lion’s Heart—which was to receive 25 per cent of the lottery earnings.

The former MP  and Baazov are listed as directors of Amaya Gaming Group Kenya, hence only the two of them had authority to open bank accounts.

He accuses NIC of opening Amaya bank accounts using fraudulent documents despite knowing that those who projected themselves as the signatories did not have the express authority.

NIC bank has been fighting off investigations into the Amaya bank accounts through which billions of cash belonging to the public was siphoned out of the country.

Nyagudi and Lion’s Heart has sued Amaya’s to recover over KSh100 million it claims was embezzled by the gaming firm’s officials, Baazov,  Sebag and  Ahdoot with the help of NIC.