NAIROBI, Kenya – The High Court in Nairobi has issued orders to freeze over Ksh.135 million held in Diamond Trust Bank (DTB) by an Egyptian national accused of defrauding a foreign investor in a real estate deal gone awry.
The order, pending a full hearing, blocks the businessman from accessing funds held in any Kenyan financial institution, specifically DTB, with provisions to extend the freeze to other accounts uncovered during investigations.
The case was brought to court by an investor who alleges that the Egyptian businessman, operating through AAD Real Estate, failed to deliver on a multi-million shilling property investment agreement.
The investor claims he had entrusted the businessman with USD 1.04 million (approximately Ksh.135 million) for both residential and commercial developments, which were to be completed by December 2023.
“To date, the projects remain a ghost town,” the investor stated in court documents, further accusing the businessman of hostility and failing to refund the money.
Represented by lawyer Danstan Omari, the aggrieved investor now wants the Directorate of Criminal Investigations (DCI) to step in and probe the transaction.
“We trusted him, but he not only became hostile, he has refused to refund the monies obtained,” the investor’s petition reads.
The court’s decision comes amid increasing scrutiny of real estate investments in Kenya, particularly those involving foreign investors.
The case will now proceed to a full hearing to determine the legitimacy of the claims and the fate of the frozen funds.
The order, pending a full hearing, blocks the businessman from accessing funds held in any Kenyan financial institution, specifically DTB, with provisions to extend the freeze to other accounts uncovered during investigations.
The case was brought to court by an investor who alleges that the Egyptian businessman, operating through AAD Real Estate, failed to deliver on a multi-million shilling property investment agreement.
The investor claims he had entrusted the businessman with USD 1.04 million (approximately Ksh.135 million) for both residential and commercial developments, which were to be completed by December 2023.
“To date, the projects remain a ghost town,” the investor stated in court documents, further accusing the businessman of hostility and failing to refund the money.
Represented by lawyer Danstan Omari, the aggrieved investor now wants the Directorate of Criminal Investigations (DCI) to step in and probe the transaction.
“We trusted him, but he not only became hostile, he has refused to refund the monies obtained,” the investor’s petition reads.
The court’s decision comes amid increasing scrutiny of real estate investments in Kenya, particularly those involving foreign investors.
The case will now proceed to a full hearing to determine the legitimacy of the claims and the fate of the frozen funds.
