Former Trade Cabinet Secretary Moses Kuria is facing a fresh legal challenge after a bank moved to court seeking recovery of more than Sh72 million over an alleged unpaid loan linked to projects undertaken at Bomet University College.
The case, filed at the Commercial and Tax Division of the High Court in Milimani, was brought by Credit Bank PLC against Smith & Gold Productions Limited, its directors Moses Kuria and Aloise Kinyanjui Kuria, alongside Emerging Capital Holdings Limited.
According to court documents, the dispute dates back to September 2019 when the bank allegedly advanced financial facilities to Smith & Gold Productions to support certificate discounting transactions connected to projects at Bomet University College.
The lender says the company initially secured a Sh10 million facility carrying an annual interest rate of 13 percent and repayable within 120 days.
Court filings indicate the first loan was successfully cleared, paving the way for approval of a second facility worth Sh20 million in December 2019 for additional projects associated with the institution.
However, the bank claims the second loan later ran into repayment difficulties and eventually fell into arrears.
According to the suit, the debt was restructured in December 2022 into a Sh40.9 million term loan to be repaid over five years through monthly instalments amounting to Sh932,486.
“The defendants failed to regularise the account despite repeated demands and notices,” the lender stated in its court papers.
The bank further argues that the revised agreement included additional guarantees and anticipated payments expected from proceeds linked to the construction of Karatu Stadium.
Credit Bank claims the outstanding amount stood at Sh59.7 million in May 2024 before increasing to Sh72.1 million by September 2025 due to accumulated contractual and penalty charges.
The lender is now seeking court orders holding the defendants jointly responsible for the amount alongside interest, legal costs and other reliefs.