Row derails Sh3bn real estate project

What you need to know:

  • The battle caught the eye of the Speaker of the National Assembly Justin Muturi who in August wrote to Inspector-General of police David Kimaiyo directing him to ensure urgent investigations are undertaken to uncover the truth about the alleged criminal activity by Mr Arati.
  • Dagoretti Police Station head of investigations Joseph Ondoro had in July said that Mr Arati’s file was forwarded to the Director of Public Prosecution.

A Sh3 billion real estate project is at the centre of a dispute between a businessman and Dagoretti North MP Simba Arati.

The fight, which has been ongoing since May, is over a seven-acre piece of land in Lavington, Nairobi, on which Mr Ashok Rupshi Shah, the director of Summermount Holdings, plans to build low-cost housing units.

Mr Shah, who claims ownership of the parcel, told the Nation that the MP stormed the property on May 11 accompanied by a group of youths and his bodyguards, saying that the plot is public land.

He accused the legislator of using his powers to frustrate the project.

“Investigations were launched into the incident but there has not been any progress. I am in utter shock that no arrests have been made to date after my caretaker reported the matter to Muthangari Police Station on May 11. The tussle has held back the proposed housing project that was scheduled to start months ago,” Mr Shah said.

SPEAKER

The battle caught the eye of the Speaker of the National Assembly, Justin Muturi, who in August wrote to Inspector-General of Police David Kimaiyo directing him to ensure urgent investigations are undertaken to uncover the truth about the alleged criminal activity by Mr Arati.

“I now write to direct that you use your office and ensure that urgent investigations are undertaken and culprits found culpable of breaking the law be prosecuted,” Mr Muturi said.

At the moment, the land is estimated to be worth Sh1 billion.

Dagoretti Police Station head of investigations Joseph Ondoro had in July said that Mr Arati’s file was forwarded to the Director of Public Prosecution.

The project involves the construction of 28 low-cost modern housing units.