Jaswant Rai, the owner of West Sugar Company, was dealt a severe blow when a Nairobi court ordered it to compensate Butali Sugar Limited for damages totaling over Ksh. 507 million.

West Kenya Sugar and the Kenya Sugar Board were the defendants in a lawsuit brought by Butali Sugar Mills Limited in 2007 over zoning.

It demanded Ksh. 590 million in damages for losses resulting from the illegal interference with its company.

The evidence on file demonstrated that Butali Sugar Mills Limited had proven its case on a balance of probabilities, according to Justice Alfred Mabeya.

Therefore, based on the totality of the available information, the plaintiff has established its case beyond a reasonable doubt. A Ksh. 507,799,612 judgment is entered in favor of the plaintiff against the first defendant. According to the court's decision, the first defendant is entitled to a 30% damage indemnity against the second defendant.

"From the date of the lawsuit until full payment is made, the amount of Ksh. 507,799,612 shall bear interest at the rate of 12% per annum. The costs of the lawsuit will be borne by the plaintiff.