BELGUT ENTERPRISES v NATIONAL BANK OF KENYA LTD [1999] KEHC 175 (KLR)

Facts

The plaintiff, Belgut Enterprises, sought an injunction against the defendant, National Bank of Kenya Ltd, to restrain the defendant from selling or interfering with the plaintiff's land. The plaintiff also sought orders to restrain the defendant from charging interest rates exceeding 18% per annum and to make calculations of the plaintiff's account in accordance with the agreement between the parties.

Issues

1. Interest rate breaches
2. Calculation of outstanding loan balance
3. Restraining orders

Reasoning

The court found that the defendant had breached the agreement by charging interest rates exceeding 18% per annum and ordered the defendant to make calculations of the plaintiff's account in accordance with the agreement. The court also ordered the plaintiff to deposit the sum of Kshs. 9,145,168/- in an interest-earning account in a bank in the joint names of the Advocates for the parties.

Outcome

The application was successful and the defendant was ordered to deposit the sum of Kshs. 10,827,268/- in an interest-earning account in a bank in the joint names of the Advocates for the parties.

Authorities cited