The total sum of USD 487,047.99 is to be released to the 5th Plaintiff from one of the Interested Party’s bank accounts held at Ecobank Kenya Limited to offset her pending salaries and allowances,” Justice Mong’are ruled
Ecobank Kenya Limited’s CEO, Jeremy Awori, along with other senior bank officials, risks facing a six-month jail term for defying a High Court order that directed the release of $487,047.99 (Ksh62 million) to a client, Monthida Rashi. The court order, issued by Lady Justice Josephine Mong’are on December 5, 2024, instructed Ecobank to transfer the funds from one of its accounts to Rashi, the fifth plaintiff in an ongoing financial dispute. The money was earmarked to settle outstanding salaries and allowances owed to her.
“The total sum of USD 487,047.99/- be released to the 5th Plaintiff from one of the Interested Party’s Bank Accounts held at Ecobank Kenya Limited to offset her pending salaries and allowances,” Justice Mong’are ruled. Additionally, the court granted Rashi, who is an authorized signatory, permission to withdraw up to $2,000 monthly, as per a resolution made on June 25, 2021.
Despite the explicit directive, Ecobank has allegedly failed to comply, drawing sharp criticism from Rashi’s lawyer, Wilfred Nyamu. Nyamu accused the bank of intentionally disregarding the court’s ruling, prompting the legal team to issue a formal demand for compliance. “We have noted your hesitation to comply with the orders of the court since service of the same. We are instructed to demand, which we hereby do, that you transfer the money into our client’s account as instructed within twenty-four (24) hours,” reads the letter.
Adding pressure, George Kithi, the lawyer representing Kiwipay Limited, the entity whose funds are held by Ecobank, emphasized the severe repercussions of defying the court’s order. In a strongly worded letter to the bank, Kithi warned: “Kindly purge the contempt to avoid any adverse action against yourselves.”
The letter further cautioned that non-compliance could result in contempt proceedings, which may lead to jail terms for Jeremy Awori, Caroline Mbenge (Head of Legal), and other senior Ecobank officials.
The dispute began in May 2024 when Rashi, through her lawyer, filed a petition seeking access to the withheld funds to settle her unpaid salaries and allowances. After months of legal back-and-forth, the court’s ruling in December was meant to resolve the matter. However, Ecobank’s apparent refusal to comply with the High Court directive has escalated tensions, with the plaintiffs threatening to initiate contempt proceedings.
With the formal demand for compliance already issued, Ecobank faces a 24-hour ultimatum to act or risk legal consequences. If found in contempt, the bank’s top executives could face imprisonment, fines, or both. The case serves as a stark warning to financial institutions about the importance of adhering to court orders, as failure to comply could lead to severe legal and reputational repercussions.
