Lawyers representing Nakumatt supermarkets in insolvency case withdraws service

Lawyers representing Nakumatt supermarkets in insolvency case withdraws service

BY KORIR JUMA,NAIROBI,20TH DEC 2017-Nakumatt Holdings  limited could be forced to go back to the drawing board and engage new lawyers after lawyers the firm picked to represent it in an insolvency case  filed an application at the High Court to withdraw from representing the firm any further.

The lawyers under Iseme, Kamau and Maema Advocates, claim that their move  is as a result of  differences on case strategy have caused a rift between the law firm and the retail chain.

 

Kamau Karuri, who has been the lead lawyer in the case, stated: “Nakumatt has been ignoring and acting contrary to our legal advice making it impossible for us to continue representing them.”

The application is before Justice Fred Ochieng.

The move comes days after  High Court judge Joseph Onguto withdrew from hearing the case after some creditors wrote a letter to Chief Justice David Maraga accusing him of bias.

Nakumatt moved to court in November seeking an injunction to bar a landlord from evicting the supermarket from their premises.

The retailer attributed part of its problems to the year-old Banking Amendment Act 2016 which put a cap on interest rates.

Nakumatt holdings CEO Atul Shah said the law had severely affected the supermarket’s ability to access short to medium term financing that it relied upon to meet its obligations to creditors who include suppliers.

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