Jirongo is not truthful on Sh110m debt, says Francis Atwoli

Former Lugari MP Cyrus Jirongo (left) and Cotu Secretary General Francis Atwoli at Wilson Airport in Nairobi on October 14, 2012. Atwoli wants Jirongo compelled to pay him Sh110 million owed. PHOTO | FILE | NATION MEDIA GROUP 

What you need to know:

  • Mr Jirongo had in court papers admitted receiving a Sh100 million friendly loan last August from Mr Atwoli which was payable in 50 days, with additional Sh10 million interest.

  • Mr Atwoli has said he is shocked to read in Mr Jirongo’s defence that he purports to have borrowed on behalf of his company that is already under receivership.

Central Organisation of Trade Unions secretary-general Francis Atwoli wants former Lugari MP Cyrus Jirongo compelled to pay him Sh110 million owed.

Mr Atwoli also wants a defence filed by Mr Jirongo struck out on grounds that it is a sham, frivolous, misconceived and lacking in merit.

“The court should enter judgment in my favour given Mr Jirongo has admitted the claim I have made against him,” Mr Atwoli in court papers.

Mr Jirongo had in court papers admitted receiving a Sh100 million friendly loan last August from Mr Atwoli which was payable in 50 days, with additional Sh10 million interest.

RECOVER DEBT

Mr Jirongo, however, stated that the agreement had provided that the money would be recovered from the debt Nairobi County owes him.

“Though Kuza Farms and Allied Ltd is owed Sh250 million, the said amount has not been paid and I am not to blame for the delay and default by the Nairobi City County in remitting the money,” said Mr Jirongo in court papers.

Mr Atwoli has said he is shocked to read in Mr Jirongo’s defence that he purports to have borrowed on behalf of his company that is already under receivership.

According to the Cotu boss, the loan was taken by Mr Jirongo as his personal loan and not for or on behalf of his company, as alleged.

SUFFERING

He said the excuse advanced by Mr Jirongo of not paying the amount due within the given time is intended to frustrate him and is intended to subject him to suffering, and make the present case delay in court.

“Mr Jirongo’s clear intention in filing the sham defence is intended to deny me possession and use of my finances,” Mr Atwoli.

Mr Jirongo said as a director of Kuza, he instructed the company lawyers to direct Nairobi County to pay Sh110 million directly to Mr Atwoli’s lawyers, in settlement of the loan claimed, and they did so through a letter dated October 13, 2016.

The county is yet to make payment.

“Mr Atwoli should commence proceedings against the Nairobi County government for the sum of Sh110 million rather than victimise me when I have equally been prejudiced by failure by the county government to honour the agreement to pay,” Mr Jirongo said.

The judgment will be delivered on notice.