Family Bank branch in Nairobi. [File, Standard]

The High Court has dismissed a Sh717 million claim filed by former Family Bank Chief Commercial Officer Kenneth Kaniu.

Justice Lawrence Mugambi not only struck out the case, he ordered that Kaniu shoulder the cost of the case for filing multiple cases before different courts surrounding his sacking.

“My take is that the dispute relating to and surrounding his termination and the consequences arising therefrom, be they be constitutional or otherwise ought to have been part and parcel of the original litigation and not multiple cases he is now filing. I find and hold that the instant Petition is barred by the principle of res judicata,” said Justice Mugambi.

In its case, Family Bank argued that the Employment and Labour Relations Court (ELRC) had already settled the dispute over his employment. 

The bank stated that it had amicably settled the case before the ELRC by paying him Sh 10.2 million.

It asserted that he had an opportunity to raise the claims at the Labour Court when he filed the case in 2022 but failed to do so.

On the claim of publishing damning information, the bank’s Chief Legal Officer Eric Murai argued that Kaniu had willingly agreed to submit himself to management background checks by signing a consent form in 2021.

He stated that the Family hired a private investigator who returned a confidential negative report on his suitability. 

Based on that, it decided to fire him on May 24, 2022.

The Central Bank of Kenya (CBK) and the Capital Markets Authority (CMA) supported Family Bank’s request to dismiss the case.

Kaniu claimed that the lender had circulated information that made him unemployable outside of a labour dispute.

He argued that the constitutional case related to his life after the termination of his employment.

The Family Bank Chief Commercial Officer sought for damages for the loss of livelihood for the remaining 23 years which he claimed he could have been employed and earned a living.

He narrated that the lender hired him on December 24, 2021 following a rigorous exercise that involved a background check by Deloitte and Touché.

Further, Kaniu stated that the appointment was contingent on the CBK clearing him after another vetting and background check.

Kaniu claimed that CBK gave him a clean bill of health. Before Family, Kaniu worked with the Britam Asset Managers (BAM), a subsidiary of the Britam Insurance, for six years as a Chief Executive Officer (CEO).

He alleged that BAM was paying him Sh 2.6 gross monthly salary. After joining the Family, Kaniu claimed he was fired based on a background check report allegedly from CBK, the Capital Markets Authority (CMA).

Kaniu took the court to the pulpit to demonstrate his battle with the lender. He referred himself as a meek person, just like David of the Bible. On the other hand, he described the bank as Goliath, a mammoth of a human being who had tormented Israel and other surrounding nations with his might.

“I am a meek law-abiding citizen, who has no matching might to fight against the respondent (Family), a Goliath. Further, the decided impunity of the respondent is demonstrable; going to all heights, including publishing a false report that the interested party issued a negative report when none was issued,” he stated.

He claimed the lender’s letter was circulated to the entire banking industry and the CMA.

Kaniu alleged he was once a golden boy of the banking industry, having worked in seven top-tier institutions, including the Commercial Bank of Africa (current NCBA). At the same time, he stated that he had a commendable professional acumen and standing, having served on the boards of at least 12 institutions.

Kaniu said that as an employee, he hoped to work until 65 years.