African Merchant Assurance Company (AMACO) risks closure after eight clients applied for its liquidation.
AMACO is one of the properties associated with Deputy President William Ruto in his vast business empire that includes real estate.
Through Kenya Gazette notice dated December 16, law firm B.W. Kamunge & Company has invited other claimants to join the petition against the underwriter associated with Deputy President William Ruto that will be heard on January 30th.
“A petition for the liquidation of the (above) mentioned company by Beth Wairimu Kahara and seven others was presented before the High Court and the said petition is directed to be heard…on January 20, 2020."
“Any creditor or contributory of the said company desirous to support or oppose the making of an order on the said petition may appear in person of by his advocate for that purpose,” the notice said.
The latest application could be a huge setback to AMACO, which has opened branches across the country. It specialises mainly on motor vehicle insurance.
Last year, Amaco realised a Sh75 million after-tax profit mainly boosted by lower operating costs with liabilities decreasing by 17 percent to stand at Sh1.8 billion compared to Sh2.1 billion the previous year.
Previously, the company had faced investigations over alleged irregular payments both at the City Hall and the controversial Kimwarer and Arror dam projects.
Should the bankruptcy petition go through, the company will close its doors in Kenya besides paying billions to its creditors.