Court halts Muthama, Ndemo trial over Malili Ranch fraud

Former PS Bitange Ndemo and Machakos Senator Johnstone Muthama.

A Nairobi court has stopped the trial of Machakos Senator Johnstone Muthama and former Permanent Secretary Bitange Ndemo over alleged fraud in the Malili Ranch sale.

Chief Magistrate Doreen Mulekyo halted the trial and fixed December 10 date for further mention and direction of the case after the court was informed of a High Court order suspending all prosecution.

Three directors of Malili Rach had gone to the High Court to stop their trial on September 3 and obtained the orders the same day.

The orders suspended the appearance in court of any of the nine suspects to answer to charges arising from the Malili purchase transactions.

David Ngilai, James Munguti, and Leonard Kitua had appeared before Justice George Odunga and obtained orders suspending the trial, saying they were witnesses in a former case in which Mr Julius Kilonzo and Peter Mutua Kanyi, both directors of Malili Ranch, were acquitted of stealing Sh143 million.

CONTEMPT OF HIGH COURT

Defence lawyers James Orengo and Stephen Andere argued that the trial court (the anti-corruption court) would be in contempt of the High Court order that had suspended the trial.

They said Justice George Odunga, while giving the order, said there should be no prosecution whatsoever in respect of the transaction.

Senior Counsel Paul Muite, for the prosecution, was accused of failing to tell the court of the existence of the order.

The magistrate said in light of the development, she could not proceed with the case.

Senator Muthama, Dr Ndemo and four others had appeared in court on September 5 and denied stealing Sh179 million paid to shareholders of the Malili Ranch by the government in 2009.