In today’s court news, the directors of Nyama mama have moved to court seeking for damages of over Kes 2 B from Victoria bank for wrongful termination.
Ninaa Shanghavi and her husband Jayesh Shanghavi, have filed an application at the Milimani High Court seeking compensation of Sh2 billion for what they term as wrongful prosecution.
The couple further want the court requesting the court to issue orders barring any further criminal charges related to their financial dealings with Victoria Commercial Bank Limited.
“An order that the respondents jointly and severally do pay the petitioners general aggravated and exemplary damages for the infringement of the constitutional rights and for emotional distress , financial losses and the disruption of their business and livelihoods in the sum of 2 billion shillings.,” reads the papers
They argue that the escalation of what was essentially a civil matter into criminal proceedings was unwarranted, claiming there was no credible evidence to support allegations of criminal wrongdoing.
“The respondents’ actions amounted to malicious prosecution and constituted a gross violation of fundamental rights and freedoms,” the court documents state.
In mid-2024, a Nairobi court withdrew a Sh520 million fraud case against the two directors. Jayesh Shanghavi had initially been charged with obtaining a Sh520 million loan using allegedly fraudulent security.
However, the Director of Public Prosecutions (DPP) later applied to withdraw the charges, arguing the matter would be better addressed through civil proceedings.
Lawyers Danstan Omari and Martina Swiga say that their clients ordeal caused them immense frustration and negatively impacted their personal and business affairs.
They are now seeking a court order directing the respondents to cease and desist from any further interference in their business operations, private lives, or legal entitlements.
“The company faced significant financial strain and challenges as a result of the COVID-19 pandemic, economic hardships, and other constraints that severely disrupted business operations. Despite these challenges, the directors remained committed to fulfilling its financial obligations with Victoria Commercial Bank,” they argue.
