We learnt of Sh370m penalty after account freeze, says Chinese firm

Justice Samson Okong'o allowed a review of the case to give the Chinese company a chance to give its side of the story. [iStockphoto]

The company's pleadings were nonetheless rebutted by Reli Sacco which sued it for encroaching on its over 4,000 members' plots and excavating tonnes of murram for the construction of roads in Western, including the Kakamega-Kisumu highway.

In a replying affidavit sworn by one of its representatives, Ben Charles Auch, Reli Sacco denied claims that SinoHydro was unaware of the suit pertaining to Kanyakwar Residential Plots/Kisumu Block 17.

"When we realised that the SinoHydro had entered the suit property and were excavating murram day and night, we confronted their project manager and asked him to stop the exercise to no avail," he said.

"I particularly sought the assistance of the police but was advised the dispute was of a civil nature and should be resolved by the court. I instructed our advocates who wrote a demand letter to SinoHydro to stop the trespass but they never heeded the demand."

He said they filed a case in the Land Court together with an application for an injunction on April 14, 2015, against the firm which has at least 486 international projects in more than 72 countries valued at $43 billion.

He added that the court subsequently issued an injunction against the firm but it appeared unconcerned. "The said order was served upon them at its then offices in Kisumu and despite the service, they continued with the trespass," said Auch.

Justice Samson Okong'o allowed a review of the case to give the Chinese company a chance to give its side of the story.