Court Stops Ksh650M Payment to Nairobi Billionaire

Inside the precincts of a Kenyan court
Inside the precincts of a Kenyan court
File

The Court of Appeal has frozen the payment of more than KSh 650 million by the government to Nairobi billionaire Michael Maina.

The tycoon had been awarded the amount as compensation following the demolition of his mansion in Nairobi Spring Valley a decade ago to pave way for road construction.

The demolition order had been issued by then Roads Minister Franklin Bett in July 2010.

Franklin Bett
Franklin Bett
File

Justices Daniel Musinga, Patrick Kiage and Sankale ole Kantai ruled that the amount was substantial and noted that the billionaire might not be able to pay the amount in question should the appeal be granted. 

"Though Mr Maina has said he is capable of repaying any money, it should be noted that the amount is substantial.

"It has also not been disclosed if the assets identified are within reach," read part of the judgement.

In his defence, Maina detailed that his assets, both in and outside the country, surpassed the amount he was seeking. 

The Attorney General had moved to court to file an appeal faulting Justice Lucy Gacheru for awarding Maina Ksh591 million as compensation for a house that had not been completed.

She had also awarded the businessman Ksh50 million for pain and suffering and Ksh10 million for exemplary damages.

The tycoon noted that he had purchased the land from one Stanley Njuguna at Ksh1 million in 1997. 

This claim was, however, disputed by the government which stated that Maina had acquired the land through deceptive means.

Furthermore, the government claimed that the land had already been set apart for construction of a road.  

A court Gavel.
A court Gavel.
Twitter