This archive report was first published on 1 July 2021.
July 1, 2021, marked a significant development in the ongoing dispute between Cytonn Investments and the Capital Markets Authority (CMA). The High Court intervened, granting Cytonn Investments a reprieve in the face of CMA's 'unwarranted harassment.'
The reprieve comes after CMA launched a 'criminal probe' against Cytonn Investments, which the company claims was an attempt to disown their engagement over a long period of time on one of the two funds facing liquidity challenges, like all real estate funds in light of Covid-19.
Notably, CMA had been involved in the creation, naming, and approval of CHYS as a private offer since 2016. In response, Cytonn Investments issued a letter rebuking CMA for 'misleading' the public over recent reports about CHYF.
"We take note of your June 17th, 2021 press release to the public and recent media statements, which are grossly misleading to both the Kenyan public and relevant policymakers. Given the sensitivities around financial markets, we would have preferred to address these issues confidentially, but now that you have taken them into the public domain, it is only fair that we rebut your statements with documentary evidence so that the public is better informed," the report from Cytonn Investments read.
