Court Orders Kenyan Media Mogul Samuel Macharia To Repay 3.1 Million To Directline Assurance
- Kenyas High Court has ordered Samuel Macharia to return Ksh400 million 3.1 million unlawfully withdrawn from Directline Assurance.
- Justice Alfred Mabeya ruled the fund transfer was illegal and aimed to cripple Directline, a major motor vehicle insurer.
- A 90-day forensic audit has been mandated, overseen by an interim board representing AKM Investments, Janus Ltd, and Royal Media Services.
Samuel Macharia, one of Kenyas wealthiest media moguls, has been ordered by the High Court to return Ksh400 million 3.1 million that was unlawfully withdrawn from Directline Assurance Company Limited, a leading motor vehicle insurer in Kenya.
Justice Alfred Mabeya, in his ruling, stated that the transfer of funds by Macharia, 82, was illegal and intended to financially cripple the company. Macharia is the chairman of Royal Credit Limited, and also a significant shareholder in Directline Assurance.
This is in order to meet the ends of justice and to secure the interest of the policyholders and claimants for compensation, Justice Mabeya said, directing that the funds be returned to the account from which they were withdrawn.
The court also mandated a forensic audit of the insurer's books, to be conducted by an interim board consisting of representatives from AKM Investments Ltd, Janus Ltd, and Royal Media Services Ltd, with a deadline of 90 days.
Ownership dispute and irregular withdrawalsThe controversy stems from a 2019 incident when Macharia instructed the withdrawal of Ksh400 million 3.1 million from Directline's account to fund a housing project under his company, Toy and Suna Holdings.