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{
    "id": 1346255,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1346255/?format=api",
    "text_counter": 147,
    "type": "speech",
    "speaker_name": "Molo, UDA",
    "speaker_title": "Hon. Kuria Kimani",
    "speaker": null,
    "content": " Thank you, Hon. Deputy Speaker. It may have escaped your attention that Hon. Wanjala crossed the aisle instead of going all the way back and coming back. On 5th October 2023, vide a letter from Uchumi Supermarkets Public Limited Company (PLC), the acting Chief Executive Officer (CEO) brought to the attention of the National Treasury an impending court ruling which was to be made on Wednesday, 18th October 2023 on the matter. UBA Bank had petitioned that the court grants leave to UBA Bank to: 1. Enforce its security over all that property known as land Uchumi Langata Hyper LR 209/12593 by appointing a receiver of the income over the charged land; and, 2. Enter into possession of the charged property Uchumi Langata Hyper LR 209/12593. Hon. Deputy Speaker, according to the Cabinet Secretary for the National Treasury and Economic Planning, the National Treasury was not privy to this court matter until 5th October 2023, when the National Treasury received the letter from the acting CEO Uchumi Supermarkets Limited. The National Treasury indicates that the said date, 5th October 2023, was the deadline the court gave for the submission of objections by parties interested in the said property. In this case, the National Treasury and Kenya Development Corporation, formally the Industrial and Commercial Development Corporation (ICDC) were the shareholders and creditors of Uchumi Supermarkets Limited, respectively. Following the receipt of the letter from the acting CEO of Uchumi Supermarkets PLC, the National Treasury requested the Attorney General's representation in court for the ruling on 18th October 2023 to file for a postponement of the ruling to enable consultations within the Government for a policy decision. On 18th October 2023, the court gave the National Treasury three days to make submissions to the court. Therefore, the court ruling date was postponed to 27th October 2023 and set for 3rd November 2023. The National Treasury debones that on 26th October 2023, five days before the deadline date granted by the court, the Cabinet Secretary for the National Treasury and Economic Planning, through the Attorney General, submitted an affidavit beseeching the court to decline to issue the orders sought and instead grant that: 1. UBA Bank and the National Treasury leave to conduct a joint valuation of the property; and, 2. UBA Bank and the National Treasury leave to jointly exercise their statutory power of sale over all the property, known as LR 209/12593, by appointing a receiver for the income over the charged piece of land. On 3rd November 2023, Hon. Justice Alfred Mabeya ruled on the application by UBA Bank dated 29th March 2023. In his determination, the judge determined that the application by the bank had merit. He proceeded to allow the same for the reasons inter alia that the company's (Uchumi) failure to review and meet the terms of the Company Voluntary Arrangement (CVA) has had a detrimental effect on UBA Bank as a secured creditor. However, it is key to note that in rendering his decision, the judge points out in paragraph eight, which I will read verbatim. “I have considered the rival representation of the parties. On 18th October 2023, I was about to deliver the ruling on the present application. However, Mr. Bett, learned counsel for the National Treasury informed the court that he wanted to file an objection on behalf of the National Treasury. I, therefore, set aside the proceeding for delivery of The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor"
}