Directors of The Good Earth Group Limited (TGEG), the proprietors behind the popular Nyama Mama restaurants, have filed a petition before the High Court seeking Sh 2 billion in compensation for what they term as malicious prosecution.
Jayesh Shanghavi and Nina Shanghavi have sued Victoria Commercial Bank (VCB) and its directors, accusing them of orchestrating a criminal case that subjected the couple to reputational damage, financial loss, and emotional trauma.
Speaking to the media at the Milimani Law Courts shortly after filing the petition before Justice Fridah Mugambi, the Shanghavis claimed their constitutional rights were grossly violated during the process.
The couple are pleading with the court to consider the financial loss they through, reputation harm and the disruption of their business and livelihoods.
The dispute stems from financial difficulties the company faced during the COVID-19 pandemic, which led to loan arrears with VCB.
According to the couple’s lawyers Danstan Omari and Martina Swiga, the Shanghavis were in negotiations with the bank to restructure the loan when the lender opted to pursue criminal charges instead.
“In 2021, my clients were charged in a criminal case over what was a purely civil and commercial matter,” noted Omari.
Omari further stated that despite the couple’s efforts to amicably resolve the matter, the bank rejected their proposals and instead launched what he described as a campaign of harassment and coercion.
According to the petition before the High Court, the couple, despite having no prior criminal record, were subjected to punitive bail terms of Sh 5 million each.
Nina, 61, alleges that during this time, she was denied access to private medical care and was forcibly admitted to Kenyatta National Hospital without her medical records, where she allegedly experienced medical negligence.
“She was denied a vegetarian diet required for medical and cultural reasons, and her family was barred from attending to her,” said lawyer Matina Swiga, adding that the ordeal caused significant psychological and physical distress.
The court also allegedly rejected a plea to allow Nina to travel abroad for urgent medical treatment, detaining her passport despite the presentation of supporting medical documents.
Jayesh and Nina were initially charged with fraudulently obtaining a Sh 520 million loan using alleged forged securities.
However, in 2024, the Director of Public Prosecutions (DPP) applied to withdraw the charges, stating that the dispute was civil in nature and not suitable for criminal prosecution.
Milimani Principal Magistrate Wandia Nyamu subsequently marked the case as withdrawn.
