Ex-MP Loses Control of Multi-Billion Nairobi Estate

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Posh houses located in the outskirts of Nairobi County
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Former Tetu MP James Ndung'u Gethenji has lost control of a multi-billion estate located in Kitisuru, Nairobi County. 

The court ruled that the former legislator had no powers to take over the management of a company that oversees the estate. He was also stripped of the authority to appoint a director without the express go-ahead of shareholders and the homeowners. 

The ruling was made by Justice David Majanja. 

"His actions could not be sustained for passing a resolution while excluding the other shareholders.

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Former Tetu MP James Ndung'u Gethenji addresses the media at a past rally
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"Under the law governing companies, Ndung'u could not act alone to take over management of the estate or pass any resolution without involving the others," the judge ruled. 

The court overturned an earlier decision by a High Court which had granted the ex-MP the go-ahead to control the estate valued at over Ksh 20 billion. 

On Wednesday, October 9, that Lady Justice Margaret Muigai and Loise Komingoi directed that Gethenji remains the top director of the companies.

The houses in Kitusuru estate are valued at between Ksh 180 million and Ksh 320 million each. 

The up-market residential homes sit a half-acre plot per house in one of the most luxurious estates in the country.

Gethenji and his brothers have fought for the control of the estate since 2019. The dispute originated when the ex-MP appointed a new director to manage the companies. 

The ex-MP was arrested on April 13, 2019, after his family sought to control the management company. They also overturned the decisions he had made earlier. 

His family and shareholders accused him of attempting to stop renovations of houses. Attempts to block Ndung'u from managing the estates for 15 years was thrown out of court. 

In 2017, Gethenji lost out to Nyeri-based lawyer James Gichuhi Mwangi, who ran on a Jubilee party ticket while he (Gethenji) contested as an independent candidate. 

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Former Tetu MP Ndung'u Githenji addresses the media in 2016
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