Court grants Yagnesh Devani bail in Sh7.6 billion Triton scandal

Businessman Yagnesh Devani at Milimani law courts before Anti-Corruption chief magistrate Thomas Nzioki on Wednesday, August 7, 2024 where he was charged with 11 counts of fraudulent disposition of mortgaged goods, for clearance of petroleum products valued at 10.4 million U.S dollars without the consent of the mortgagee. [Collins Kweyu,Standard]

Billionaire businessman Yagnesh Devani, who has been embroiled in the infamous 2008 Triton oil scandal, was released on a Sh5 million cash bail after spending over 15 days in custody.

Milimani Anti-Corruption chief magistrate Thomas Nzyoki, in his ruling, ordered Devani's release on the condition that he either deposits the Sh5 million cash bail with two personal sureties or provides a bond of Sh30 million with one surety of a similar amount.

The decision to release Devani on bail followed a pre-bail report submitted by a probation officer, which recommended his release pending trial.

The report verified that Devani is a Kenyan citizen with established ties in the country. It highlighted that Devani runs a company along Valley Road, and that both his son and nephew have affirmed their readiness to stand as sureties for him.

As part of his bail conditions, the court imposed several strict conditions including barring Devani from leaving the country without its permission, and ordered him to surrender his passport.

Magistrate Nzyoki also prohibited him from interfering with any prosecution witnesses, highlighting the seriousness of the charges against him, and if he violated any of the conditions his bail would be canceled.

He also freed the tycoon saying that the prosecution failed to provide compelling reasons to deny him bail.

In his ruling, the magistrate concurred with the arguments made by Devani's lawyers Moses Kurgat and Hillary Kiplagat, who presented evidence that the tycoon did not flee Kenya.

The lawyers had argued that Devani left the country before the extradition proceedings were initiated and had spent considerable time in the United Kingdom fighting the extradition order issued by a Kenya court in 2009.

In addition to the bail ruling, Nzyoki compelled  Devani to plead to charges connected to Triton Petroleum Company Limited, which had been temporarily postponed while the prosecution verified the company's directorship.

"I find that the pre bail report tabled in court shows that Devani was a major shareholder in Triton Petroleum Company Limited when the offences were committed and ordered him to answer charges on behalf of the company," stated Nzyoki.

Devani and Triton Petroleum Company Limited are accused of the fraudulent release of 126 million litres of oil, violating a collateral financing agreement with Emirates National Oil Company (Singapore) Limited.

The businessman faces eleven counts of fraud, including conspiracy to defraud, obtaining by false pretenses, and the fraudulent disposition of mortgaged goods.  

One of the key allegations against Devani is that on September 5, 2008, while serving as managing director of Triton Petroleum Company Limited, he, along with others, disposed of 13,054,850 cubic meters of diesel, valued at approximately USD 10,146,888.36 (Sh32,017,783.66) to Total Kenya Limited without the consent of Emirates National Oil Company (Singapore) Limited, the mortgagee.

After denying the charges on behalf of the company, Devani through his lawyer, Mwenda Bata, urged the court to review the bail terms amount stating it was excessive.  

The prosecution opposed the request for review of the Sh5 million cash bail saying the same was proper based on the Sh7.6 billion corruption charges facing him and Triton.

Magistrate Nzyoki stated that in order for the terms to be revised, Devani would have to demonstrate his inability to raise the cash bail.

The case is set for pre-trial on August 29.