City businessman Brian Yongo last week filed a bankruptcy case at the High Court to declare former Cabinet minister Cyrus Jirongo bankrupt for failing to repay a Sh25 million loan he advanced to the politician in 2014.
The controversial debt collector claims the former Lugari MP has failed to remit installments agreed to in a deal the two signed to settle a suit he filed against Mr Jirongo last year.
Mr Yongo sued Mr Jirongo last year to recover the money, but the two reached an out of court settlement.
According to Mr Yongo, Jirongo has only paid Sh10 million and has refused to pay the balance even after being warned that bankruptcy proceedings would be instituted against him.
Mr Yongo adds that he has been unsuccessful in tracing assets registered in Mr Jirongo’s name.