Former TransCentury CEO Dr Gachao Kiuna. PHOTO | FILE
What you need to know:
Dr Kiuna resigned from the company on January 11, following boardroom wrangles over the recapitalisation of the company and the repayment of an $80 million debt owed to bondholders, which matured on March 25.
Listed Kenyan investment company TransCentury Ltd is facing a legal battle with its former chief executive Gachao Kiuna over unpaid terminal benefits amounting to over Ksh21 million ($203,988).
The amount relates to a gratuity of one month for every year of the seven worked, amounting to Ksh14.63 million ($142,314), leave payoff for 45 outstanding days, amounting to Ksh4.27 million ($41,536.6) and staff claims (expenses paid on behalf of TransCentury) amounting to Ksh2.73 million ($26,556.2).
Dr Kiuna resigned from the company on January 11, following boardroom wrangles over the recapitalisation of the company and the repayment of an $80 million debt owed to bondholders, which matured on March 25.
Dr Kiuna, through lawyer George Mugane of Wangoko Mugane & Company Advocates, on April 5 served TransCentury with summons, giving the company 14 days to respond to the legal notice of the pending case.
According to Mr Mugane, TransCentury failed to respond to the notice whose due date was April 19, paving the way for court proceedings.
“We served them with court papers but they have not filed any response so we shall be proceeding to court basically to take a mention date and the hearing date,” Mr Mugane told The EastAfrican.
The firm has operations in Kenya, Uganda, Tanzania, Rwanda, Zambia, Mauritius, Democratic Republic of Congo and South Africa.
