Agency has since moved to the High Court
A Nairobi court has declined to issue orders freezing the custody of Sh100 million recovered from a Nigerian man arrested on Friday last week.
The Asset Recovery Agency through senior sergeant Fredrick Musyoki had urged JKIA chief magistrate Lucas Onyina to issue orders to freeze the money seized from Mauzu Bala.
He was arrested while heading to Dubai.
The monies were in US dollars, Euros and Naira. It was stashed in a bag.
Bala's lawyer Sam Ogutu had opposed the application by ARA, saying the court has no jurisdiction to handle the application. He said the court does not have jurisdiction over the matter.
"Being without the requisite jurisdiction to issue or grant the nature of the orders sought in the application before this court, this court is obliged to down its tools so that the applicant can make its application for the orders it seeks, if it so desires, before the appropriate court clothed with the requisite jurisdiction as this court has no jurisdiction,” Onyina ruled.
The magistrate said the court cannot deal with any other issue in the said application other than to order the notice of motion dated December 7 struck out.
"I cannot make any lawful order touching on custody, liberty or otherwise of the respondent. All I can say, obiter, as I close, is that counsel ought to take time and consult carefully with relevant state offices involved in this matter, even at the top level, in order that the matter may be handled in the most appropriate professional manner possible under the laws applicable," the magistrate said.
The assets agency has since moved to the High Court seeking to freeze the Sh100 million seized from the Nigerian.
The agency says there are reasonable grounds to suspect the funds found in Bala's possession in cash may be proceeds of crime obtained from a complex money-laundering scheme.
"His failure to declare that he was carrying such a huge amount or documents to support the legitimacy of the cash, raises suspicion of money laundering," ARA says.
Court documents indicate the cash was meant for business purposes in Dubai.
But Bala had no documents to support the source, purpose and movement of the money.
The money in $880,000, 63,000 Nigerian Naira and 60,000 Euros is currently being held by Kenya Airways CEO Allan Kilavuka.
ARA wants the court to issue an order directing Kilavuka to hand the money the agency.