Keroche Breweries has sued its former managing director, Sam Shollei, for Sh10 billion. The company accuses him of damaging its reputation through an advert about a pending liquidation petition.
Lawyer Karuku Wachira told the High Court the ad could hurt the company’s economy. He cited 500 jobs, Sh20 billion in annual revenue, and a 15% market share as reasons to stop further publicity.
The court has suspended the liquidation case Shollei filed over a Sh75 million debt. The debt arose from wrongful dismissal compensation. Keroche CEO Edward Mwangi Muigai argued the petition was invalid. He said the statutory demand for payment was illegally processed.
Justice Samuel Muhochi barred Shollei or his agents from publishing or advertising the petition. He also issued a temporary order stopping related notices until the hearing.
Shollei also won Sh45.5 million in September 2022 for unfair termination. The amount grew to Sh75 million with interest after Keroche allegedly failed to pay. Shollei’s lawyers chose liquidation after police in Naivasha allegedly refused to help auctioneers enforce the judgment.
In August 2025, Shollei published a notice in the Kenya Gazette and newspapers, inviting other creditors to join the petition.
Keroche however says the demand notice is invalid. Muigai argues it was signed by a High Court deputy registrar, not Shollei or his agent. This, he said, violates Section 384(1)(a) of the Insolvency Act 2015.
Muigai insists the defect makes the petition illegal and an abuse of court process. Keroche wants the court to declare the advert wrongful and unauthorized. It also seeks an order for Shollei to retract the notice and pay damages.
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