Businesswoman remanded over alleged Sh520m fraud

Businesswoman Ninaa Shanghavi Jayesh who is accused of fraudulently obtaining Sh520 million from Victoria Commercial Bank is to be remanded in custody until tomorrow pending a ruling on her bail.

Milimani senior resident magistrate Wandia Nyamu  issued the order after the accused who presented herself in court while on a wheelchair with an oxygen cylinder  pleaded not guilty to the fraud charges against her.

Ninaa who is said to own popular Nyama Mama restaurant had gone missing amid accusations of fraudulently obtaining the money prompting a Nairobi court to issue a warrant for her arrest.

The prosecution led by a senior state prosecutor strongly opposed her bail application, saying the accused had breached previous court orders requiring her to appear for plea taking.

Contempt

“Your honour, accused person demonstrated that she has no respect for the court, until an arrest warrant was issued against her,” said the prosecutor.

Nina is charged alongside her husband namely Jayesh Umedlal who has already pleaded not guilty to the charges.

Jayesh who was present in court also requested for his passport to travel to Dubai for business purposes.

The prosecution, however, successfully opposed the application and was directed to appear in court for ruling on the matter on December 14, 2021.

Jayesh, who is believed to be the owner of various restaurants, bars and shopping malls in Nairobi was jointly charged with others not before court with intent to defraud Victoria Commercial Bank Limited.

The court heard that the accused persons wanted the bank to execute a first legal charge over Crystal Edge Apartment Number B2 erected on Land in Nairobi to secure Sh520,000,000 as a valuable security.

He allegedly committed the offence on varied dates between December 10, 2018 and November 2020 in Nairobi.

Jayesh, who is said to be Nina’s husband, are both directors of Good Earth Group.

Jayesh is also believed to be the owner of Mr Yao, Blue Door Bar and Nyama Mama restaurants.

Court documents show that Jayesh and Nina are the two directors of the Good Earth Group limited which entered into an agreement with the bank and began borrowing loans from the bank since 2015 to November 2020.

Properties provided by the duo to the bank as security were of varied  type and value, including properties owned by their company, bank deposits from their alien accounts among others.

It is alleged that the two did not own any of the premises they operated their business from.

Absence in court

Nina’s lawyer told the court that it was not Nina’s wish to involve the court in a long process through her absence in court, saying the last time DCI officers came for her, she had left for a trip out of the country.

However, the prosecution had opposed the application for lifting the warrant of arrest, saying Nina’s location had remained unknown during that time as nothing had been availed in court as proof that Nina was out of the country.

This had prompted Victoria Commercial Bank to ask the prosecution to run a paid advert in one of the local dailies seeking information on the whereabouts of Nina. The bank said that the matter was of public interest.