Imperial Bank shareholders say they can only raise Ksh. 10 Billion

Shareholders of the troubled Imperial Bank now say they can only raise Ksh 10 Billion out of the total Ksh 40 Billion that Central Bank Of Kenya had required them to inject in order to re-open the bank.

The move comes a week after the Central Bank of Kenya issued a statement saying that the the shareholders have been unwilling to cooperate.The major shareholder says they will have to inject capital to reopen the IBL brand before the suit is concluded, hence funds recovered through the suit will be owed to them as a refund.He also proposed that some deposits will have to be converted into equity.

However,Imperial bank depositors are against the move to convert the deposits into equity as they say the whole handling of the matter by CBK was wrong,adding that they had been lured to Imperial Bank because of the good rates it had offered.

The major shareholders who are

– East African Motor Industries

-Kenblest

-Abdulmal Investments(14 percent stake in Imperial Bank)

-Reynolds and Company

-Momentum Holdings

-Rex Motors

-Janco Investments

Source (Court Fillings)