David Chege Kiarii v Co-operative Bank of Kenya [2020] KEHC 9871 (KLR)

Facts

The plaintiff, David Chege Kiarii, filed a suit against the defendant, Co-operative Bank of Kenya, seeking a declaration that the bank's action of freezing his account number 0110xxxxxxxxxx Nairobi Business Center Branch was unlawful, illegal, null and void. The plaintiff claimed a credit balance of Kshs. 7,852,578 at the time of freezing, while the defendant claimed the account was in debit by Kshs. 33,125.

Issues

1. Whether the defendant lawfully froze the plaintiff’s account
2. Whether at the time of freezing the account, the amount claimed by the plaintiff was in credit to the account
3. Whether the plaintiff is indebted to the defendant in the sum claimed and/or stated herein
4. Whether either party has proved its case
5. Who will bear the costs of the suit

Reasoning

The court finds that the defendant was justified in freezing the account due to suspicious activities, but should have informed the plaintiff immediately of the reason for the freeze. The plaintiff's account was in debit at the time of freezing.

Outcome

The plaintiff's case is dismissed with no orders as to costs.