Sannex Auctioneers have announced that they will on Tuesday, September 22 auction Tuskys’s merchandise in Donholm, Nairobi after the retailer failed to raise rent amounting to Ksh30.8 million for its Greenspan branch.
Last month, Syndicate Agencies Ltd., a loss control and risk management company, filed a petition claiming that Tuskys had failed to settle a Ksh30.8 million debt that had accumulated over three years.
The company, in court papers filed on August 12, said it had done a thorough search and established that there was no cash in any of the Tuskys’s bank accounts and that no financial institution held money on behalf of the retailer. Syndicate Agencies Ltd. invited other creditors to join in the suit.
And on Monday, September 14, Sannex Auctioneers stopped Tuskys from opening its Greenspan doors over the unpaid dues.
“They owe the landlord over Ksh30 million in rent arrears. The money has been pending for a long duration,” a representative of Sannex Auctioneers said Monday.
The retailer, which is seeking to sell a majority stake in rescue attempt, reportedly owes its suppliers up to Ksh6.2 billion in dues.
On Thursday, September 17, Sannex Auctioneers posted an advertisement in the dailies, saying the auction of Tuskys’s goods to recoup their client’s Ksh30 million will be done at Greenspan Mall on Tuesday, September 22 beginning 10:30am.
“Duly instructed by our principals, the landlords, under the Distress for Rent Act and Auctioneers’ Act, Laws of Kenya, we shall sell by public auction the under-mentioned goods:
“Assorted fast moving consumer goods such as flour, sugar, rice, beauty and cosmetics products,” said the auctioneers in their advert.
Also to be sold at the auction are electronic items, including: fridges, music systems, cookers, washing machines, freezers, chillers, dispensers, TV sets, vacuum cleaners, DVD players, iron boxes, mobile phones, ovens, meat mincers, and much more.
The sellers are also seeking to recoup the owed monies by vending a Dusan power generator, office desks, hanging lights, CCTV cameras, trolleys, furniture, deep fryers, cold room component air coolers, hot dog grill, among other goods.
Those interested in purchasing the products will be required to pay the auctioneer a refundable Ksh50,000. They are also expected to have cash at the site on auction day.
The closure of the Greenspan Mall branch comes barely a few weeks after auctioneers temporarily closed a Tuskys store at Kisumu’s United Mall over Ksh26 million rent arrears.
The retailer’s Eldoret branch was also closed in August this year by Chargless Auctioneers Limited over non-payment of rent amounting to Ksh14 million.
The branch was, however, opened after the retailer deposited Ksh5.5 million with the auctioneer, promising to clear the balance in the next few days.