Keroche Breweries Limited has filed a lawsuit seeking KSh 10 billion in damages and a public apology, claiming that malicious insolvency claims have caused severe reputational damage, investor panic, and long-term risks to its business.
In court papers, the brewer says media reports on the insolvency petition have already rattled stakeholders and undermined confidence in the company, despite its status as Kenya’s leading indigenous brewery with a 15% market share, substantial annual revenues, and a track record as a major taxpayer.
Keroche warns that the “false insolvency narrative” threatens to erode its brand value, discourage investors, and destabilize its economic contributions, including direct employment of 500 workers, sourcing raw materials from over 10,000 local farmers, and generating foreign exchange through exports. The company cautions that without urgent intervention, the reputational harm could spiral into job losses, reduced tax revenues, and market instability.
The firm insists that the liquidation petition lodged on May 23, 2025, is grounded on a “fundamentally invalid” statutory demand allegedly signed on June 30, 2025, by a Deputy Registrar of the High Court in Nakuru. Keroche argues that the law only allows such a demand to be issued by the petitioner or their duly authorized agent, making the entire petition defective.
It adds that the subsequent advertisement of the case in the Kenya Gazette on August 21, 2025, was “wrongful, unauthorized, and gravely prejudicial,” as it falsely signaled insolvency and caused panic in the market. Keroche has described the case as a misuse of insolvency law aimed at coercive debt recovery.
The petitioner, identified as former employee Sam Kruss Shollel, is accused of acting in bad faith, with Keroche citing a record of filing and withdrawing multiple cases, including a contempt application in August 2025.
Through lawyer Karuku Wachira, Keroche is asking the court to stop further dissemination of the petition notice and to award damages of KSh 10 billion to repair what it calls far-reaching reputational and commercial damage.
