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AG to file new defence in row with iron trader

by kenya-tribune
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AG to file new defence in row with iron trader

High Court judge Eric Ogola in Mombasa. PHOTO | LABAN WALLOGA 

The Attorney-General has 14 days to file a further affidavit in his application where he wants an amended petition by an iron-ore trading company seeking $1 million (Sh100 million) as compensation from a government’s multi-agency team struck out.

Through counsel Emmanuel Makuto, the AG told the court that he was not ready to proceed with the hearing of the application saying he needs time to file a new affidavit.

Justice Eric Ogola allowed the application by Mr Makuto and directed the case to be heard on March 18.

The AG argues that the amended petition by Samruddha Resources Kenya Ltd (SRKL) was filed after the case had been settled by consent.

SRKL wants to be compensated after its 55,000 metric tonnes of minerals (iron ore) were detained and later released.

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The AG argues in his application that the respondents (KRA, DCI and the AG) were never heard before filing the amended petition and that the case was revived by only fixing it for mention,

This disregarding the fact that it had been settled by consent, he added.

“The order to amend is contrary to the constitutional rules,” argues the AG adding that the consent had been reached for purposes of settling the matter amicably and without damages to either party.

According to the AG, the amended petition has the effect of setting aside the negotiations of the parties.

SKRL argues that the conduct of the respondents resulted in it having to pay demurrage charges and compensation for delayed shipment charges to avoid being locked out from undertaking its core business.

It also argues that the multi-agency team conduct led to not only a closure or severe hampering of its business but its reputation also being adversely tarnished for no valid or proper reason.

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