Thursday, May 10, 2018

Businessman sues CMA in fraudulent transactions probe

CMA CHIEF EXECUTIVE PAUL MUTHAURA. FILE PHOTO | CMA CHIEF EXECUTIVE PAUL MUTHAURA. FILE PHOTO | NMG  
MAUREEN KAKAH

Summary

    • Mr Rodrick Muhoro Ngugi sued the regulator as well as the Bank of Africa, saying that the regulator is accusing him of making transactions that led the bank to make irregular payments to fixed income dealers.
    • Through his lawyer Jotham Arwa, Mr Ngugi argues that while the regulator is keen on its investigations, it has refused to respond to his request for information on the exact nature and particulars of the transactions as well as payments being referred to.
A businessman trading in securities has moved to court to protest against investigations carried out by the Capital Markets Authority against him over alleged fraudulent transactions.
Mr Rodrick Muhoro Ngugi sued the regulator as well as the Bank of Africa, saying that the regulator is accusing him of making transactions that led the bank to make irregular payments to fixed income dealers.
Through his lawyer Jotham Arwa, Mr Ngugi argues that while the regulator is keen on its investigations, it has refused to respond to his request for information on the exact nature and particulars of the transactions as well as payments being referred to.
Instead, the regulator directed the bank to furnish them with extremely private and confidential information relating to his financial records from 2016 to date.
He also pointed a finger at the regulator for further seeking records of his transactions in the bank regarding his businesses from January 1, 2010 to December 30, 2015.

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