How Tycoon’s Family Was Defrauded in Ksh519M SGR Land Compensation

President Uhuru Kenyatta flags off SGR Phase 2A at the Nairobi Terminus on Wednesday, October 16, 2019
Former President Uhuru Kenyatta flags off SGR Phase 2A at the Nairobi Terminus on Wednesday, October 16, 2019
PSCU

The administrators of the estate of the Late James Kamau Thiong’o, on Tuesday, March 23 went to court seeking reinstatement of a land case that was fraudulently withdrawn leading to the family losing Ksh519 million in compensation.

Following the issuance of the summon, The Environment and Land Court in Mombasa opened proceedings to interrogate how the case was withdrawn without the family's consent. 

The land which is in Miritini, Mombasa was compulsorily acquired for the Standard Gauge Railway(SGR) project. Africa Gas and Oil Company Ltd (AGOL) and the deceased’s family had been in a protracted battle, each claiming the ownership land number MN/VI/755.

The Mombasa Terminus of the Standard Gauge Railway.
The Mombasa Terminus of the Standard Gauge Railway.
File

However, the deceased tycoon's family was shocked to learn that their case had been withdrawn and shortly after, the National Land Commission (NLC) compensated AGOL for transfer of the land to the government. 

An advocate, Njega Mbugua, who allegedly entered into a consent with counterparts from the NLC has been summoned for interrogation on why he acted without instructions from the family of the deceased.

The family through advocate Patrick Muchena argued that Mbugua, who purported to represent the deceased’s estate and then proceeded to record a statement withdrawing the case lacked the capacity to do so.

“At no time did the deceased’s family or our advocates ever instruct Njenga to withdraw the case on our behalf,” the family said in an affidavit filed in court.

The family through the family spokesman, Joseph Nyingi, said that the dispute involves a big amount of money which the court ought to determine so that justice is served.

“In the interest of justice and fairness, the order withdrawing the case ought to be vacated and the suit herein be reinstated and be heard on merit. The family stands to suffer irreparable damages and loss if this case is not reinstated,” Nyingi said.

The estate administrators, Monica Wambui and Zacharia Njenga, allege that after their case was withdrawn, NLC awarded Africa Gas and Oil Company Ltd (AGOL) Ksh519 million without confirming the legality of their title documents.

“Despite the NLC being served with the extracted order and penal notice of the injunctive order issued by the court, the commission inexplicably and in blatant contempt of the directive, authorised and paid out the money to AGOL to our detriment,” the family said.

Affidavits that have been filed in court to deny the family compensation indicate that the deceased had sold the parcel of land to the government in 1970s.

Documents filed by the Registrar of Titles John Wanjohi, indicate that the deceased was paid Ksh110,690.70 in 1976 further raising the question on how the NLC paid for compensation on land that belonged to the government.

“Upon the land being compulsorily acquired and government taking possession, Mr. Thiong’o's title to the land parcel No.MN/VI/755 was extinguished,” Wanjohi said.

The family, however, insists that the alleged acquisition was not completed in 1976, therefore, making them the property owners.

An SGR Cargo train on the move
SGR Cargo train on the move.
File
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