Govt Faces Ksh 800M Loss After Buying Land From Bishop Gakuyo

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Bishop Gakuyo addresses a gathering in Kiambu in 2018
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The government of Kenya is in tussle with a company linked to controversial Bishop Gakuyo, formally David Kariuki, over land it bought from him.

While appearing before the Public Accounts Committee on Wednesday, May 26, Assets Recovery Agency (ARA) Director Alice Mate disclosed that the Directorate of Criminal Investigations (DCI) had linked the company in question, Chosen Builders Investments, to the controversial bishop.

In its investigation, the DCI found out that the company had been the proprietor in the sale of land valued at Ksh132.4 million to the state, according to a report by Daily Nation.

The findings showed that Chosen Builders sold a parcel measuring 50-acres to Murang'a County Government.

Televangelist David Kariuki, who is popularly known as Gakuyo
Televangelist David Kariuki, who is popularly known as Gakuyo
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The director further alleged that despite receiving the payment in 2018, the company is yet to process title deeds and hand them over to the state.

She further added that the set back is likely to cost the state Ksh800 million investment it had already poured into the project that was aimed at solving waste menace in the region.

The money had been provided by the World Bank.

The payment to the controversial company was made in two trenches with the first batch of Ksh53 million being paid out in 2017 and the balance offset in January 2018.

Soon after, the Office of the Auditor General flagged the transactions noting that despite full payment being made, the state was yet to receive the title.

In recent years, Gakuyo made headlines after over 7,800 members of Ekeza Sacco filed complained with the DCI accusing him of engaging in fraudulent activities.

After hearings, the Bishop was ordered to make refunds to the aggrieved and offered them plots.

On November 21, 2020, Ekeza Sacco released a video noting that over 4,000 customers with shares worth less than Ksh 50,000 had received their refunds.

"The government and precisely the Commissioner of Cooperatives in conjunction with Bishop Gakuyo have today paid more than 4,000 members who had savings below Ksh 50,000 in Ekeza Sacco, while more than 1,000 had above Ksh 50,000 converted their investment to prime properties in Real Estate.

"Ekeza will pay up to the last shilling," read a statement from the Sacco.

For those clients who had invested between Ksh50,000 and Ksh100,000, they would receive a plot of land measuring 50 by 100 feet in Ukasi, Kitui County.

Those who had shares between Ksh 100,000 and Ksh 120,000 are set to receive plots measuring 50 by 100 feet in Subukia in Nakuru County.

Customers who had deposited Ksh 300,000 are set to receive 50 by 100 plots at Nanyuki, Kwa Ndaiga, in Laikipia County while those who had invested Ksh 350,000 are set to receive same size parcels in Konza, Kajiado County.

Ekeza sacco members queue at the DCI offices on Monday, march 18, 2019.
Ekeza sacco members queue at the DCI offices on Monday, march 18, 2019.
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