- In a recent legal battle concerning the multi-billion shilling Tatu City development in Kiambu County, the High Court has dismissed an application by Dubai Gems Ltd, a firm that claimed to own four per cent of the shares in the property.
- With the High Court's ruling, Tatu City is free to continue its operations and dealings in Kiambu County.
In a recent legal battle concerning the multi-billion shilling Tatu City development in Kiambu County, the High Court has dismissed an application by Dubai Gems Ltd, a firm that claimed to own four per cent of the shares in the property.
The ruling by Justice Josephine Mong’are has allowed Tatu City to continue its dealings without interruption.
Dubai Gems Ltd, a limited liability entity with a single shareholder, Elijah Njore Njoroge, initiated the legal proceedings in July.
The company argued that it held a stake in Tatu City, citing a deed of transfer from Stephen Mbugua Mwagiru, which was executed through a power of attorney granted by Etienne Deblar.
Deblar was asserted to be the primary beneficiary of four per cent of the management shares in Tatu City, based on a subscription and shareholders agreement dated June 16, 2008, relating to Cedar IV Limited.
Njoroge sought a temporary injunction from the court, aiming to prevent Tatu City from marketing, offering for sale or leasing, transferring, or entering into any contracts involving the property in Ruiru.
This move was pending the resolution of the case regarding the disputed shareholding.
However, Tatu City vehemently opposed Dubai Gems Ltd's application through an affidavit presented by Preston Marshall Mendedhall.
Mendedhall informed the court that the matters concerning the ownership and shareholding of Tatu City had already been extensively litigated and resolved in various legal proceedings, both within Kenya and internationally.
In delivering her verdict, Justice Mong’are emphasized the necessity for the plaintiff to establish a prima facie case to warrant the grant of an injunction.
She ultimately concluded that Dubai Gems Ltd had failed to meet this requirement. In her official statement.
"Having found that the plaintiff has not established a prima facie case to warrant a grant of the order of injunction, I find and hold that the application dated June 6, 2023, by the plaintiff has no merit and I hereby dismiss the same," Mong'are said.
With the High Court's ruling, Tatu City is free to continue its operations and dealings in Kiambu County.
This legal decision brings a temporary end to the shareholding dispute surrounding this significant multi-billion shilling property development.
The ownership and future of Tatu City remain in the spotlight, as stakeholders and investors closely monitor the ongoing legal proceedings.