A PROMINENT city law firm was paid Shs 15 million as legal fee in a civil suit involving former cabinet minister Nicholas Biwotts Company and Trade Bank. The firm, whose directors Shirin Ismael and Akber Ismael, owned shares in Yaya Towers which is linked to the Keiyo South legislator.
Lawyer Cecil Miller, acting for Deposit Protection Fund (DPF), lamented that the directors of the law firm represented themselves in the suit and further charged a legal fee in the scale of the advocates. Miller urged Goldenberg Commission chairman Samuel Bosire, vice-chairman Nzamba Kitonga and commissioner Peter le Pelley to recommend that the monies paid to the firm be recovered by DPF. Commission lead counsel John Khaminwa, assisting counsel Waweru Gatonye and lawyer Fred Ojiambo also joined the fray and wondered why the legal fee was that exorbitant. .
“My lords, the law firm was involved in the civil case that involved Yaya towers and Trade Bank,” Miller told the commission while cross examining former Central Bank of Kenya governor Eric Kotut. Bosire wondered why the firm charged a legal fee and yet it was its core shareholder L Z Engineering that had a dispute with Trade Bank. They were the shareholders. The company appears to have split down the middle. It brings to question whether the payment of Shs 115 million was really justifiable,” Bosire said. “Rene is a share holder who is also a litigant being paid on the scale of advocates, ” Bosire said and directed Biwotts lawyers to shed light on the circumstances behind the hefty payment. Khaminwa said the money paid to the firm was part of the Goldenberg money being traced by the commission. ” If he was a party, he was representing himself. Then the whole thing was wrong,” Miller said. The lawyer sought to know from Kotut who chaired the DPF meeting that recommended the release of Shs 600M whether Yaya Towers surrendered the prestigious building for security purposes. Kotut said Yaya Centre was not an issue for DPF board in relation to the loan in accordance to t he provision s of the Deposit Protection Fund Act. “So you were releasing the money for an illegal purpose?” asked Miller, to which Kotut replied “No, my lords “
