Atta Kenya sues Grain bulk handlers over auctioned milling wheat

The multi-billion shilling  grain suit pitting Atta Kenya limited and Grain bulk handlers limited entered homestretch Tuesday with two more defendant witnesses taking to the stand.

The two witnesses were at pain to explain who authorised the disposal of 29,500 metric tons of wheat belonging to Atta Kenya limited.

The plaintiff, Atta Kenya limited wants the court to declare the sale of the wheat illegal and surcharge the Grain Bulk Handlers Limited, Commissioner – Customs and Border Control, Beyond Auctioneers, Grain Industries Limited and Oloo and Chatur Advocates.

According to court documents the plaintiff, Atta Kenya limited entered into an agreement with Louis Dreyfus company limited for the purchase of 38,500 metric tons of milling wheat.

29,500 metric tons was to be delivered to Atta Kenya limited, where the payment for the shipment was done in June 2014 to LDCL totaling to 7.565 million dollars.

However, the plaintiff fell behind in paying the required customs duty and storage fees owed to the Commissioner – Customs and Border Control and the second defendant Grain Bulk handlers.

As the matter was under review by all the parties Atta Kenya limited received a letter that, the consignment had been sold by Beyond Auctioneers to Grain Industries ltd at a total cost of 217.48 million Kenya shillings way below the market value of 730.3 million shillings.

Appearing before the High Court Judge Florence Macharia Tuesday, two defendant witnesses were at pain to explain how the auction price was arrived at and who authorized the sale of the milling wheat.

The cross examination was being done by Atta limited lawyer Mila Bwire, who needed answers to what exactly transpired during the receivership of the wheat consignment to its sale.

The case continues on the 14th of March, where the cross examination of the last defendant witness will take place.

The post Atta Kenya sues Grain bulk handlers over auctioned milling wheat appeared first on KBC.