A firm tied to Kamlesh Pattni, the architect of the Goldenberg scandal, has secured Supreme Court review of its $185.5 million claim against the Central Bank of Kenya (CBK) involving the Laico Regency Hotel. The case centers on a 1997 payment made by Westmont Holdings on behalf of Malaysia-based Lynwood Development Limited, which sought to purchase the former Grand Regency Hotel.
The Supreme Court's five-judge panel, led by Deputy Chief Justice Philomena Mwilu, ruled the dispute has public significance after Westmont was ordered to deposit Sh20 million to proceed. The firm argues this requirement violates constitutional access-to-justice principles, while the CBK claims Pattni used the payment to settle an unrelated loan debt.
Westmont's appeal follows a 2002 ruling that deemed the company incapable of pursuing legal action after its business closure. The CBK's legal team, led by Philp Murgor, warned of potential Sh2.8 billion liability if the court sides with Pattni's firm. The case also involves allegations of foreign legal representation, with Jasmine See, a key witness, holding multiple passports including U.S. and Malaysian citizenship.
The dispute dates to 1990-1993 when Pattni's Goldenberg International scheme, involving illicit gold and diamond re-exports, cost Kenya over $600 million. Lynwood claims it paid the CBK $3.7 million as a deposit for the hotel sale, which was later acquired by Libya Arab Investment Company.
