Court case involving Nairobi Hospital directors over financial statements

DPP Seeks Withdraw Charges Against Nairobi Hospital Directors

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The Office of the Director of Public Prosecutions (ODPP) has applied to withdraw charges against three directors of Nairobi Hospital who had been accused of failing to file financial statements with the Registrar of Companies.

Through prosecution counsel Nora Otieno, the DPP told the court that it was seeking to withdraw the charges under Section 87(a) of the Criminal Procedure Code to allow for further review of the case.

“We have made a request to review the charges further,” the prosecution submitted, noting that the move was intended to facilitate a re-evaluation of the matter.

The charges had been brought against Barclay Mogere Onyambu, Magdalene Koki Muthoka and John Nyiro Mwero, all of whom served as directors of the Kenya Hospital Association Limited, the entity that operates Nairobi Hospital.

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They were accused of failing to lodge the company’s financial statements for various years, contrary to the Companies Act. In one of the counts, all three were charged with failing to submit financial statements for the year 2024 by December 31, 2024. Muthoka faced additional counts relating to the 2023 and 2022 financial years.

However, the application to withdraw the charges was strongly opposed by the defence.

Senior Counsel James Orengo faulted the prosecution’s handling of the case, arguing that the defence team should have been informed earlier that the matter would not proceed.

“Yes, you can withdraw, but not under Section 87(a). The accused should not have charges hanging over their heads,” Orengo told the court, urging it to terminate the case in a manner that would bar future prosecution on the same facts.

Law Society of Kenya (LSK) President, Charles Kanjama, also opposed the application, arguing that the suspects had a right to be formally presented before the court.

“The accused persons have a right to be brought to court. The suspects outside in the parking lot have a right to be produced in court,” Kanjama said.

He further faulted the prosecution for withdrawing the charges without providing sufficient justification and urged the court to consider releasing the suspects under Section 202 of the Criminal Procedure Code.

The court is expected to issue directions on the prosecution’s application as the matter unfolds.

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