Pcea Kandara Parish Sacco Society Limited v John Migwi Mwaura [2021] KECPT 603 (KLR) | Loan Recovery | Esheria

Pcea Kandara Parish Sacco Society Limited v John Migwi Mwaura [2021] KECPT 603 (KLR)

Full Case Text

REPUBLIC OF KENYA

IN THE CO-OPERATIVE TRIBUNAL AT NAIROBI

TRIBUNAL CASE NO. 545 OF 2017

PCEA KANDARA  PARISH  SACCO  SOCIETY  LIMITED ........ CLAIMANT

VERSUS

JOHN  MIGWI  MWAURA..............................................................RESPONDENT

RULING

1.  A Notice to show cause   dated 4. 10. 2018 was issued  by the  Tribunal  following  an Application  by the Claimant/Applicant.

The said  Notice to show cause  emanated  from  a decree  dated 23. 8.2018  as a result  of interlocutory  Judgment  entered  against  the Respondent.

2.  The Respondent (Judgment  Debtor) on the day  when  the Application  for Notice To Show Cause  was coming up requested  for leave  to file a Response and directions  were given  on 14. 10. 2020.

On 18. 11. 2020 when the matter  came up  for mention  the judgment debtor  had not  filed their  response and were granted  another  opportunity  for compliance.

The  Judgment Debtor  filed their  Replying Affidavit dated  12. 11. 2020 on 18. 11. 20.

In  the said Replying Affidavit  the Judgment Debtor  claims  his motor vehicle  KAD  344 P was  attached by  auctioneers  in a bid  to  satisfy  the decretal  sum. He further states the Judgment Creditor have not accounted for it.

3.  He further  avers  having  made some  payment  to the bank  totaling to  Kshs.42,000/= and some  payment  via  Mpesa to Koimet Auctioneers  whose figure  is not stated.

4.  The Decree Holder  filed a Further Affidavit  dated  22. 1.2021and filed  on  29. 1.2021 stating  Judgment Creditor  had not  visited  their offices  as claimed.

The  Judgment Debtor  volunteered  his motor vehicle  and was not  repossessed  as alleged. However,  no sale could  happen as  the said  motor vehicle  was not  in the Judgment Creditor’s name  and he was not  in possession  of the original  logbook.

5.  The parties were  directed  to file written submissions  of which  the judgment debtor  filed their  submissions  dated 22. 1.2021 on 26. 1.21.

The same  were taken  into consideration while waiting  this ruling.

The Judgment Creditor despite being given numerous opportunities did not file their  written submissions. The  dates on  22. 3.2021,  7. 4.2021,  3. 5.2021 came up  for mention  to confirm  filing  of the submissions  but the Judgment Creditor’s  Advocate  was not present.

6.  The issues at hand are:

(i)   Issue one:

Whether  the judgment  debtor is liable  to pay the  amount  being sought.

(ii)   Issue two:

What happens  in default of payment?

Issue one:

Whether  the judgment  debtor is liable  to pay the  amount  being sought.

It is  not in doubt  the judgment debtor  owes the  Decree Holder  for a loan  he took  of which remains  unpaid.

Decree Holder  is seeking  to recover  Kshs.284,310. 00/= of which  ought to  be  paid.

Issue two:

What happens  in default of payment?

In default of payment  of a loan  the law provides:

“ an aggrieved  party  to move  the court  for  relevant  orders  as against  the Judgment Debtor. The  Claimants  (Decree Holder) in this  instance applied  for Notice to show  Cause  which were  taken out and  Respondent  given an  opportunity  to defend himself.”

7.  The Judgment  Debtor  has not  given  any proof  of payment  other than  the Kshs.42,000/= paid in  his attachment  JMMI which  is a small portion  of the loan  advanced  in 2008.

The motor vehicle   he claims  was to be  used  as collateral  there is no  evidence  to show  the motor vehicle  is registered  in his  name and  it  fetched  the amount  of money he alleged.

The  upshot  of the above  is that:

The  Judgment  Debtor  has not  showed  cause why  execution  should  not issue, hence  the Judgment  Creditor may  proceed  to execute  the  decretal  amount  as per  the Notice to Show Cause  dated  4. 10. 2018.

The judgment  debtor  to  pay the  costs of the  application.

Ruling  signed, dated and delivered virtually this 27thday of May, 2021.

Hon. B. Kimemia                  Chairperson                Signed       27. 5.2021

Hon. J. Mwatsama              Deputy Chairperson  Signed       27. 5.2021

Mr. P. Gichuki                       Member                       Signed       27. 5.2021

Tribunal Clerk                       Leweri

Muthomi  Advocate  for Claimant.

No appearance  for Judgment  Debtor.

Hon. B. Kimemia                  Chairperson                Signed       27. 5.2021