Former CS’s Dari Limited gets 30-day stay as legal battle with regional bank deepens
Former Cabinet Secretary Raphael Tuju has suffered a major legal setback after the High Court dismissed his bid to reopen a United Kingdom judgment in a long-running KSh1.2 billion loan dispute with the East African Development Bank (EADB).
In a ruling delivered on Friday, November 7, Justice Josephine Mongare struck out the application by Dari Limited, Tuju’s company, terming it barred by legal doctrines and lacking merit.
“It is statutorily misplaced, barred by res judicata and res sub judice, and founded on evidence that is neither new nor capable of altering the outcome of this court’s ruling,” the judge declared.
Tuju Cites “New Evidence”
Tuju, through his company Dari Limited, had sought to review a 2020 High Court decision that recognised and registered the UK judgment against him. The former CS argued that fresh evidence had emerged after EADB’s former Kenya Country Manager, David Odongo, allegedly recanted earlier testimony used in the case.
“Our application was anchored on new facts and evidence emanating from Mr. Odongo’s testimony, in which he completely recanted his earlier affidavits,” Tuju said in a statement after the ruling.
However, the court found that the alleged new evidence did not meet the threshold for reopening a matter already decided upon, citing the doctrines of res judicata and sub judice which prevent courts from revisiting issues previously adjudicated.
Dari Secures 30-Day Stay of Execution
Despite the defeat, Tuju’s company secured a 30-day stay of execution as it reviews its next legal steps in what has become a multi-jurisdictional battle with the regional lender.
“We remain committed to ensuring justice prevails. The 30-day stay allows us time to evaluate all our options. In the meantime, the status quo remains,” he stated.
Tuju expressed disappointment in the ruling but reaffirmed his respect for judicial independence, saying he valued the opportunity to be heard.
“We recognise the critical role an independent judiciary plays in a functioning democracy and thank the court for allowing us to exercise our constitutional right to be heard,” he noted.
Long-Running Dispute
The latest ruling adds another chapter to a protracted financial dispute dating back to 2015, when Dari Limited secured a KSh4.5 billion loan from EADB for a real estate project. The bank later sought to recover part of the loan, claiming default, leading to a judgment in the UK which Tuju has consistently challenged in Kenyan courts.
Tuju also extended gratitude to Dari’s partners and clients for their continued support amid the legal turbulence, pledging to pursue a fair and final resolution.
“We wish to express our appreciation to all our partners, clients, and stakeholders who continue to stand by us as we pursue a just and final determination of the dispute,” he said.
As the case continues to unfold across multiple jurisdictions, Tuju’s next move will likely determine whether the former CS can overturn one of the most significant financial rulings against him in recent years.
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