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How Diamond Lalji became a bankrupt millionaire

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Picture this: Your friend asks you to guarantee his/her sacco loan. You automatically agree because you know him/her well. Besides, the sacco is known to be flexible with defaulters.

Sadly, things don’t go according to plan, life gets tough and your friend defaults. But his/her assets are not enough to recover the loan, so the sacco comes after you and other guarantors.

PETITION

Unfortunately, you can’t pay up, so the sacco files a bankruptcy petition against you and succeeds.

Within no time, you’re declared flat broke and an insolvency practitioner appointed to run whatever little exists of your estate.

This scenario is now real for thousands of Kenyans following a court judgement that declared former Cereal Millers Association chairman Diamond Hasham Lalji bankrupt on March 1.

The tycoon, whose business empire boasts no fewer than 16 companies in various industries, failed to repay a $4.8 million (Sh480 million) debt three of his companies owed American grain bulk handler, Cargill.

On January 16, 2017, Mr Lalji agreed to guarantee three of his flour milling companies — Premier Flour Mills, Maize Milling Company and Milling Corporation of Kenya — which had owed Cargill since it supplied them with maize in 2012.

At the time, the three firms owed $5.2 million (Sh520 million). Milling Corporation owed Sh274.95 million, Premier Flour Mills Sh192.25 million and Maize Milling Sh48.95 million.

But after the businessman failed to pay up as agreed, Cargill filed an insolvency petition against him.

TITLE DEEDS

Mr Lalji on Friday filed an appeal against the bankruptcy order issued by Justice Francis Tuiyott.

The Court of Appeal will mention the case Monday and decide whether to suspend Justice Tuiyott’s order, as Mr Lalji looks to convince the appellate judges to dismiss the order permanently. Justice Tuiyott’s ruling is likely to create anxiety among loan guarantors, since they could meet a fate similar to Mr Lalji’s.

Justice Tuiyott ordered that Anthony Makenzi Muthui of Ernst & Young take the over management of Mr Lalji’s estate as a receiver manager to recover Cargill’s debt.

Usually, the appointment of a statutory manager to handle a bankrupt individual’s estate is left to the official receiver. But Justice Tuiyott held that the official receiver had accepted Cargill’s nomination of Mr Muthusi, and that Mr Lalji did not contest the arrangement.

Justice Tuiyott agreed with Cargill’s argument that Mr Lalji did not give adequate details on six parcels of land worth Sh330 million that he offered to sell to offset part of Cargill’s debt. The businessman faulted Cargill for turning down his repayment proposal, which included the six title deeds as security.

DISCLOSURE

He also asked Justice Tuiyott to consider that his three firms had repaid Sh34 million since the insolvency petition was filed. But Cargill insisted that the Sh30 million was too little, since Mr Lalji had promised to pay Sh100 million.

Justice Tuiyott ruled that there was no evidence to verify the value of the land Mr Lalji pledged as security. “The identity of the properties to be sold is not disclosed and neither is a professional opinion of the value demonstrated. In the circumstances, a creditor would be rightly entitled to doubt the credibility of the proposal made.”

The court added that Mr Lalji’s failure to make a disclosure of all his assets and liabilities did not help his argument, because it is only upon such disclosure that the court can evaluate his ability to meet the offer. “And it cannot be ignored that the promise to pay the debt is by the very companies whose default led to the guarantee that has given rise to Mr Lalji’s apparent insolvency” Justice Tuiyott ruled.

Justice Tuiyott had ruled that Cargill was not unreasonable in turning down a repayment proposal by Mr Laji, which would have seen the debt repaid in instalments running through to April, 2023. After Cargill filed the insolvency petition, Mr Lalji proposed to give the firm the six pieces of land, which he was ready to sell, as security.

source:nation.co.ke

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Business

VIDEOS: Boston, Massachusetts residents are all smiles courtesy of Optiven

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Optiven Group just hosted its Boston customers for sumptuous dinner and a one-on-one meeting. What’s more? Courtesy of this event, several Bostonians are now owners of land that is 100% transformed, meaning they are now proud owners of land that has all facilities including children park, a jogging track, water, trees and secure gated communities.

See more: https://www.optiven.co.ke/diaspora/usa2019

These happy clients can now embark on a journey of building homes and for those who are already building, they will enjoy the new innovative project, where Optiven through its sister company PMC Estates (www.pmcestates.co.ke) will get all our clients a good tenant, maintain their houses and collect and deposit Money in their accounts or wire the rent to their USA accounts.

A number of customers in the USA & Europe are already benefiting courtesy of this new service with no risk of being shortchanged by a dishonest relative.

The Optiven team, which is led by George Muteti and Steve Mbugua, who are both Senior Managers, are available for online support as they celebrate those they presented the ownership documents at Boston. They were in Virginia, Maryland Missouri and now in Boston, Massachusetts as they head to Seattle in Washington State later this week.

We at Optiven celebrate all those customers whose titles were delivered to their doorstep and we commit to also deliver to those others who are still paying for their properties on installments. These installments have enabled many Kenyans in diaspora to own properties with Optiven Group. Most of who have purchase Victory Gardens and are very happy.
Youtube: https://youtu.be/gdu935WbGcI

Others customers have bought Garden of Joy, a very strategic property that is ready for settlement. Youtube: https://youtu.be/X97lzyZ3M8Y

Still, other customers have bought Nyeri project (Youtube: https://www.youtube.com/watch?v=ZXqUvYSSZ9s)

While others have bought Shekinah Gardens: https://www.optiven.co.ke/properties/shekinahgardens

Thika Royal palms https://www.thikaroyalpalms.com/ and Amani Ridge-The place of Peace

https://www.optiven.co.ke/component/allvideoshare/video/amaniridgeplaceofpeacekiambu?Itemid=665

We congratulate the hundreds of diaspora clients who have bought and joined our 10, 000 plus customers, whom we have empowered over the last 20 years. You are now part of the great Optiven movement.

We now encourage you to join the movement as we push our vision to Economically and Socially empowering and transforming the world.

Call us now:
540 214 4376

443 734 2465

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Optiven begins USA Summer Tour 2019 To Empower And Partner With Kenyans

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Optiven USA Tour July 2019: Optiven has embarked on a month-long mission in the USA.
“We are empowering and partner with  Kenyans in the USA to help them create wealth back at home and share investment opportunities in the vibrant real estate market,” says Mr George Wachiuri, the Group’s CEO.
The Team is in the USA this Summer.
If you are in Harrisonburg VA , Richmond VA, Baltimore MD, St Louis  MO, Boston MA, Seattle WA, you have an  opportunity to interact and invest through this award-winning real estate company.

Optiven USA July Tour

Schedule:

Harrisonburg VA for  the KCFA Conference  (July 4th-7th)

Special Title Presentation by Optiven
Time: Full Day

Baltimore MD July 6th– 10th 2019.

 

During the Annual Independence Day
Special  Title Presentation by Optiven
Time:Full Day
Venue: Grace Quarters Rd, Middle Rivers 21220 MD

Richmond, VA July 7th-10th,2019

Special Dinner and Title Presentation by Optiven
Time:4:00pm

 Venue: Embassy Suites   By Hilton 2925 Emerywood Pkwy Richmond VA 23294

St Louis, MO July 12th- 17th, 2019

Special Dinner and Title Presentation by Optiven
Time:4:00pm
Venue:Best Western Inn St Louis 6224,Heimos Industrial Park Dr, St Louis.

Boston, MA July 19th-24th, 2019

Special Dinner and Title Presentation by Optiven
Time:4:00pm
Venue: Hyatt Place Boston /Braintree 50 Forbes Rd, Braintree, MA 02184

Seattle, WA July 27th-31st, 2019

Special Dinner and Title Presentation by Optiven
Venue:Comfort Inn Federal Way 31622 Pacific  Hwy S, Federal Way, WA 98003
Time:4:00pm
Optiven is available for one on one in all stations. All Dinners fully paid by Optiven as you witness the presentation of title deeds.
Contact George or Stephen at +254 713 588 899 or +254 708188671
More details on our website https://www.optiven.co.ke/diaspora/usa2019

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WACHIURI: Top 5 Tips On How To Positively Dominate And Influence

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BY GEORGE WACHIURI

When we were created, we were empowered with an astonishing capacity to positively dominate and influence the World. The world could be your career, your business, your life, your family or whatever is around your environment.

Here in Kenya, we have witnessed successful companies such as Optiven Group dominating the real estate market in such a big way, to an extent of being singled out by the London Stock Exchange as one of the top companies that will influence Africa in the year 2019. We have also witnessed individuals who have truly taken charge of what they do. These are people such as the late Mother Teresa, who influenced the humanitarian field in a big way; the late Prof. Wangari Maathai, who took charge of environmental protection with such zeal, that she even picked a Nobel Peace Prize for her contribution to sustainable development, democracy and peace. We have great people such as Manu Chandaria and George Wachiuri who have demonstrated a notable passion for philanthropy works in Kenya.

So, how can you up your dominance level, to be at par with such great people who have continued to leave a positive mark on their areas of specialty?

Here are some tips on how you can get to the next level:

 

  1. Know and demonstrate your strength: You must explore your abilities and maximize on them. No one will tell you about your strength. Take charge of your life and move to influence the world.
  2. Develop a Skill: Anyone without a skill in today’s world is like a blind man who is not trained on how to walk. Learn a skill and let the world know that you have it. Once the world has known, you will be paid for it. Just start learning today!
  3. Never stop fighting for the life you want: It is that simple, gold is not collected like gravel, you have to dig down and after that, you will still need to melt it. Work on your life and use it to influence the world. Just stop being lazy and toxic to yourself. Be positive and influence the world.
  4. Use team work in order to excel: One hand is limited and many hands make the work lighter. Work to develop your followers to be leaders. Collaboration works magic. Work with others and influence the world in a much larger scale.
  5. Maintain Key social bonds: Develop a habit of supporting others. If you support someone today, there are 95% chances that the person will stand with you when you need them.

Go forth now, dominate and influence your world positively.

Thoughts by: George Wachiuri: A Leading Entrepreneur, a Published Author, Philanthropist, Youth Empowerment Enthusiast, a Family man and CEO of Optiven Group

Contact Optiven Group:0723 400 500 Email: info@optiven.co.ke Websitewww.optiven.co.ke
George Wachiuri Blogwww.georgewachiuri.com
YouTubehttps://www.youtube.com/user/OptivenEnterprises/

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