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Bank Rejects Paul Kobia’s Billions

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By Isaac Newton Tetteh

A local bank declined to keep billions of money from controversial city billionaire Paul Kobia in its accounts.

Kobia further saw his lawsuit against the Central Bank of Kenya thrown out of court.

The tycoon had sued CBK and the Attorney General, accusing them of forcing the local bank to turn away his money.

He argued that the two had interfered with how the bank conducted its business. Kobia operated three accounts with the local bank until December 14, 2018.
“We have decided to close your accounts or products with effect from January 14, 2019,” the bank wrote to him.

Kobia defended himself, stating that his businesses have never been scrutinised for any economic-related crimes or money remittances.

CBK distanced itself from his woes with Commercial Court Judge, Justice Wilfrida Okwany, ruling that Kobia did not have enough evidence against CBK.

“Looking at the letter in question, this court is unable to find nexus between the threatened closure of the petitioner’s bank accounts and any action by the respondents herein so as to justify the granting of the orders sought in the petition,” the judge ruled.

The businessman has crossed paths several times with the government leading to a raid at his offices and seizure of some of his property. In the June 2019 raid, police recovered money counting machines and an assortment of stamps and seals.

The police had accused him of being embroiled in a fake gold syndicate.

In September 2019, Kobia was among those individuals who argued against CBK’s decision to change Kenyan notes. The billionaire stated that the directive to banks to decline old notes was intrusive.

Source. Kenyans. Co. Ke

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