As Raphael Tuju deals with the warring factions in the Jubilee party and accusations that he is working for opposition chief Raila Odinga, he faces another seemingly insurmountable financial challenge that overshadows his political problems. According to businessdaily.com, a hotel associated with the Jubilee secretary general owes the East African Development Bank (EADB) kes1.4 billion.
Dari restaurant, where Tuju is listed as a director, was advanced a loan of $9.3 million (Kes962 million) on July 31, 2015 but failed to pay prompting EADB to take legal action.
The bank has filed the case before a London court seeking to compel Karen-based Dari Restaurant to offset the $13.6 million (Sh1.4 billion) loan, which includes the principal and loan interest.
The defendants failed to honor part of their deal which required Dari to repay the loan in 20 consecutive installments after a 24-month grace period had elapsed.
Tuju, who is among the four guarantors, is accused of failing to ensure that Dari met its financial obligations in line with the terms of the loan.
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