Bank of Baroda’s Sh3 Billion Court Battle Over Nairobi Industrial Park on Eastern Bypass

In 2019, Bank of Baroda extended Infinity Industrial Park a Sh1.97689 billion facility to finance its industrial park along Nairobi's Eastern Bypass in Njiru.

The financing comprised a takeover loan from Equity Bank, a new overdraft and a fresh term loan.

Infinity had planned a large industrial complex on about 200 acres, with a projected 15-year development period and capacity for up to 1,000 small and medium-sized enterprises.

The bank's facility was secured against several properties, including the project land and other prime properties in Nairobi.

The first phase was completed in 2021, despite the disruption caused by Covid-19.

Infinity later said it had repaid about Sh500 million in principal and Sh800 million in interest by December 2023.

The land factor

Infinity says it later needed more land released from the bank's security so it could raise fresh financing and proceed with Phase Two.

The developer wanted another 15 acres released, including land earmarked for a second cluster of 50 warehouses.

It also sought a further Sh650 million development facility from Bank of Baroda.

Infinity argued that delays in releasing titles and portions of the charged property disrupted construction, sales and cash flow.

The bank disputed that account. In earlier proceedings, it argued that Infinity had fallen into arrears and that it was entitled to retain the charged assets until its obligations were settled.

The court records an instance in which the bank said Sh55.94 million in interest had not been paid on time, causing the facility to become non-performing.

Dispute lands in court

In 2024, Infinity filed a commercial case against the bank, seeking several orders, including protection against the sale or disposal of the Njiru property, release of additional land and financing for the second phase.

It also sought damages for losses it attributed to the bank's actions, including delays that it said affected the sale and development of the industrial plots and warehouses.

An earlier High Court ruling did not immediately grant Infinity the land-release orders it wanted.

The court found that there were contested questions around the loan, alleged delays and the parties' contractual obligations that required determination through the main case rather than an interim application.

The complex court case

The eventual Sh2.996 billion judgment did not come after the bank fought the damages claim through a full trial.

According to court records, Bank of Baroda entered appearance but failed to file its defense within the prescribed period.

On September 8, 2025, the High Court entered default judgment in favour of Infinity, including its claim for approximately Sh2.996 billion in special damages.

The bank later asked the court to set aside that judgment, arguing that failures by its former lawyers had contributed to the missed filing.

In July 2026, the High Court rejected that attempt, finding that the bank had been given an opportunity to file its defence but failed to comply with the court's directions.

The bank argued that its intended defence raised issues that should be tried, but the court held that the existence of those issues did not by itself justify reopening the judgment.

The Sh2.9 billion penalty

The amount is special damages, not the original loan.

Infinity had claimed the figure for losses it attributed to the disruption of the industrial-park project.

The court decree ultimately entered judgment for Sh2.996 billion.

Infinity later withdrew several of its other prayers, including the request for the additional Sh650 million facility, release of 15 acres, several injunctions and general damages.

That distinction is important: the bank has not been ordered to pay Sh2.996 billion because that is what it borrowed. It is the damages judgment arising from the dispute.

Enforcement of the judgement

On September 15, 2026, the High Court issued a warrant of attachment against Bank of Baroda's movable and attachable property.

The warrant puts the amount currently due at Sh2,996,003,000, comprising the Sh2.996 billion decree plus Sh1,500 in further costs and a Sh1,500 collection fee.

Moran Auctioneers has been authorised to attach sufficient movable property and sell it by public auction if the debt is not settled.

The warrant requires the auctioneer to return it to court by October 15, 2026 with details of how it was executed.

That is the development turning the long commercial dispute into a major banking story.

At Infinity Industrial Park, that tension has now produced a Sh2.996 billion judgment and an attachment order against a bank's assets.