Dubai Bank
Hassan Zubeidi
Kenya Depositors Insurance Corporation
Ksh 245
Rajab Ahmed Karume
The High Court

EX Dubai Bank Kenya Chairman Hassan Zubeidi offers to pay back depositors

Former Dubai Bank Kenya (in receivership) Chairman Hassan Zubeidi has offered to buy locked deposits, in a proposal issued in a letter dated 18th July to the Kenya Depositors Insurance Corporation (KDIC) according to ‘The Star’.

If KDIC approves the offer depositors will be able to finally access their monies after a 3 year suspension.

The CBK placed Dubai bank Kenya under receivership in 2015 in response to serious cash flow problems while KDIC was appointed as a receiver in the interest of the bank’s depositors, creditors and members of the public.

“From my engagement with some depositors made on a without prejudice basis, I offered to give them my personal property in exchange of their deposits. It is my view that this will assist in meeting the bank’s liabilities,” said Zubeidi.

KDIC had in July last year said that depositors would start receiving their money through electronic fund transfer to accounts whose details had been provided.

“Am concerned that since taking over of the bank by KDIC, some depositors have not received any payment and even for those who have received, full payment has not been effected,’’ he added.

The High Court had last month set aside orders stopping the investigation and prosecution over malpractice of the lender which had been obtained by Zubeidi. However separate orders stopping his arrest will remain in place.

Last week credit officer Rajab Ahmed Karume had been charged with a plot to steal Ksh 245 million property of Dubai Bank Kenya, jointly with others not before the court.

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