Bank of Baroda (Kenya) Limited is facing attachment of its movable assets after the High Court ordered it to pay Infinity Industrial Park Limited Sh2.99 billion in special damages. The dispute originates from a Sh1.97 billion bank loan facility advanced in 2019 to finance Infinity's industrial park development in Nairobi. The court issued a warrant for the attachment of the bank's movable and attachable property unless the amount is paid.
The warrant, issued by Milimani High Court Deputy Registrar Stellah Sagwe on September 15, directs Moran Auctioneers to attach the bank's movable and attachable property. The amount currently due includes the damages award, Sh1,500 in further costs, and Sh1,500 in collection fees. Attached property may be sold by public auction after a 15-day notice and proclamation process. The auctioneer is expected to return the warrant to court by October 15, explaining how it was executed or why it was not.
The dispute began with the Sh1.97 billion loan facility advanced by Bank of Baroda in 2019. Infinity Industrial Park Limited alleged that delays in releasing charged land and related financing constraints disrupted the project. The company claimed it made substantial repayments, including Sh500 million in principal and Sh800 million in interest by December 2023. Infinity repeatedly sought restructuring and partial release of charged land to raise funds.
Infinity had initially sought orders stopping the bank from selling or interfering with its approximately 200-acre project land in Njiru, along Nairobi's Eastern Bypass. The company also sought a Sh650 million facility for a second warehouse cluster or release of 15 acres to obtain financing elsewhere. However, those prayers were withdrawn through a notice dated August 6, 2026, which the court allowed and adopted.
The case took a turn after the bank failed to file its defence within the prescribed period, leading to a default judgment in September 2025. The court also dismissed the bank's July 2026 attempt to set aside that judgment. The court found the bank had participated in proceedings but failed to comply with court directions. The bank blamed its former lawyers for failing to communicate directions concerning its defence.
The bank's position in the wider dispute has been that Infinity defaulted and that it was entitled to exercise its rights as a secured lender. The dispute has also expanded into a separate fight over the bank's attempted appointment of joint administrators to Infinity in August, with the company challenging the move in court. The court entered judgment for the amount after Infinity withdrew most of its original prayers.
The warrant follows a decree in a 2024 commercial dispute pitting Infinity Industrial Park Limited against the bank. No seizure or sale of bank assets is established by the documents. Key developments in the case include the court's ruling that the bank's failure to comply with the court's timeline was not attributable to the absence of formal summons, but simply a case of non-compliance with a court order.
Key points
- The High Court ordered Bank of Baroda to pay Infinity Industrial Park Limited Sh2.99 billion in special damages.
- The dispute originates from a Sh1.97 billion bank loan facility advanced in 2019 to finance Infinity's industrial park development.
- The bank faces attachment of its movable assets unless the amount is paid.
