IHENYA AGENCIES CO. LTD V. BARCLAYS BANK OF KENYA LTD & 4 ORS

JUDGMENT OF THE COURT

This is an appeal from the ruling and order dated 24th March, 1993 of the High Court of Kenya at Nairobi (Shah J as he then was) in High Court Civil Case No.5313 of 1993.

Ihenya Agencies Ltd. (the appellant) borrowed moneys from Barclays Bank of Kenya Ltd (the Bank) on the security of its three properties namely land parcel Block 6/38, L.R.453/3/11/11 and L.R.453/3/1/4 all in the Municipality of Nakuru. The appellant was unable to pay the loan and agreed with the Bank that the first named property, that is, Nakuru Block 6/38 (the suit property) be sold to the highest bidder by public auction. As a result of that agreement the Bank through its advocates, m/s Walker Kontos, instructed the 2nd respondent,

Watts Enterprises (the auctioneer), to sell the suit property by public auction which took place in Nakuru on 15th September, 1993. It is not in dispute that the highest bid at the public auction was for Shs.8,450,000/= by a Mr. Maraga and the second highest bid was …