Development Bank sued Mr Rachier and his four partners at the Rachier Amollo Advocates- Otiende Amollo, Jotham Arwa, Francis Olalo and Stephen Ligunya – last year claiming that the law firm had refused to settle overdraft facilities.
Rachier Amollo Advocates then counter-sued, denying ever requesting for overdraft facilities and accusing the lender of allowing unauthorised access to the law firm’s accounts that have led to the Sh177 million debt.
Development Bank granted the overdrafts on the strength of letters signed by the law firm’s founder, Mr Rachier.
Rachier Amollo Advocates, however, says that its contract with the lender only allowed decisions involving its accounts at Development Bank to be made through letters signed by at least two signatories.
Mr Rachier then asked the bank to activate the overdraft facility and refund the money from Kitui County, to convince the courts and EACC to unfreeze the account and cease investigations.
