A magistrate court in Nairobi has summoned a police investigator to explain delays in arresting two businessmen accused in a Sh4.5 billion bank loan fraud case linked to collapse of Savannah Cement, even as parallel High Court battles over the matter intensify.
The trial magistrate directed the investigating officer to appear and account for failure to execute arrest warrants against Charles Hills Junior and Benson Sande Ndeta, the proprietor of Savannah Clinker Limited.
The summons followed protests by lawyers representing the complainant, John Gachanga, who accused the investigator of frustrating the case.
Mr Gachanga, Mr Ndeta and Mr Donald Kiboro Mwaura, are former business partners, having founded the collapsed cement manufacturer over a decade ago before falling out years later. It collapsed in 2022 under debts exceeding Sh14 billion before being revived under new ownership in 2025.
‘From the chronology of events, the investigating officer is working in cahoots with the accused persons to scuttle the hearing,’ the complainant’s advocate claimed in court.
They claimed that no effort had been made to apprehend Mr Hills, an American national believed to reside in the United States, or Mr Ndeta, a Kenyan.
Lawyers said State authorities had not explained difficulties in arresting Mr Hills to justify seeking an international warrant, nor why Mr Ndeta had not been presented for plea taking.
They further told the court that three separate applications had been filed at the High Court in what they termed a broader scheme to delay the criminal proceedings.
One of the applications, filed earlier by Mr Ndeta, sought to quash the criminal charges but was dismissed with costs. The court ordered the accused to appear before the trial court.
Despite that ruling, the defence has lodged fresh applications before different High Court judges seeking similar orders to halt the prosecution and review of the charges.
The prosecution opposed a request to issue a warrant of arrest against the investigator, instead urging the court to issue a summons.
‘I urge this court to issue a summons to the investigating officer instead of a warrant of arrest,’ prosecuting counsel Sonia Njoki said.
The magistrate scheduled the matter for mention on April 30, 2026, when the prosecution is expected to clarify the status of the pending High Court cases and the stalled arrests.
The investigator is also expected to explain why crucial documents have not been supplied to the complainants despite a court order.
At the High Court, the dispute has taken another turn after a judge consolidated two petitions filed by Mr Hills and Mr Ndeta challenging their prosecution.
The court ruled that the petitions raise similar issues and should be heard together to avoid duplication and wastage of judicial time.
The two directors are accused of fraudulently obtaining a $35 million (Sh4.5 billion) loan from Absa Bank using alleged misrepresentations and forged corporate documents.
When the consolidated petitions came up for hearing, the Director of Public Prosecutions sought more time to respond and to review an earlier decision that upheld the charges.
The judge directed that lower court records be forwarded for review before issuing further directions on May 6, 2026.
Court filings indicate the alleged fraud occurred between 2017 and 2018, when the accused purportedly presented themselves as authorised representatives of the company.
The complainants maintain they were unaware of the loan and insist the prosecution should proceed without interference.
They warn that repeated attempts to stop the trial amount to an abuse of court process and risk undermining earlier rulings that sanctioned the prosecution.
The unfolding legal battle now spans multiple courts, with the fate of the criminal trial hinging on both the execution of arrests and the outcome of the consolidated petitions.