Village row led to Kibaki testifying in court

The building owned by Mathingira Wholesalers Limited, a company in which Mr Kibaki is a shareholder. The Nyeri building is at the centre of the dispute. PHOTO | JOSEPH KANYI

What you need to know:

  • One of the witnesses, Mr Peter Ndung’u, had even testified earlier that Mr Kibaki’s brother Samwel Githinji had sold him all his shares and after that, he stopped attending shareholders meetings.
  • The one-time Othaya MP asked for an injunction to stop the company from collecting rent or dealing with the building until the matter is determined.

What started as an investment by villagemates has forced retired President Mwai Kibaki to testify in court, the first time a former Head of State has been compelled to appear before a judge.

A building owned by Mathingira Wholesalers, and which is located in Nyeri Town, is at the centre of a dispute that has sucked in the former president.

Mr Kibaki is one of the nine original Othaya members, who founded the company, which later bought the contentious building in 1976.
No stake in the firm

Some Mathingira directors have sued Mr Kibaki, Mr Kimwatu Kanyungu, Mr Kiiru Gachuiga, Mr Gadson Gitonga, Mr Kibera Gatu and Mr Samwel Githinji over ownership of the building.

They insist that the Kibaki group sold their shares and have no stake in the firm.

One of the witnesses, Mr Peter Ndung’u, had even testified earlier that Mr Kibaki’s brother Samwel Githinji had sold him all his shares and after that, he stopped attending shareholders meetings.

But the Kibaki faction claims some individuals joined the group illegally and edged out some original members, including Mr Kibaki, before the 2007 General Election.

And when the ex-Head of State was cross-examined for almost an hour before Nyeri High Court Judge Anthony Ombwayo on November 15, he told the court that unscrupulous people took over the firm and withheld rent proceeds since 2008.

He termed the turn of events as a disgrace, saying, he would have arbitrated if he knew of the dispute earlier.

Mr Kibaki told the court that he did not know whether some of the original members of Mathingira Wholesalers had sold their shares.

The former president said he was not involved in the day-to-day running of the company. “I am a shareholder of many other companies in this country and I leave them to be run by other members who I trust. I would not know about the daily activities as I was very busy with other matters,” he told the court.

The former president testified that he was unaware of parallel management, adding that he was not invited to the company meetings.

He narrated the genesis and growth of the property, which is at the centre of the dispute. He told the court that he was unaware of the transfer of ownership of the building to the shareholders who in 2008, sacked a director.

The one-time Othaya MP asked for an injunction to stop the company from collecting rent or dealing with the building until the matter is determined.

Mr Justice Ombwayo declined to issue the court order, saying, such a decision would divide the two groups further while the directors could still be friends if they solved the matter outside court.

Earlier, on September 23, the High court declined an application by the former President made through his lawyer Gibson Kamau Kuria asking that the court exempts him from appearing in person and instead he submits written evidence.

The lawyer had argued that due to his status as a retired president, he should be exempted.

“The 6th  defendant (President Kibaki)  has failed to demonstrate that there is a sufficient cause for this court to exercise its powers under provision of this rule. The upshot of this is that the application is not allowed.

HIS TESTIMONY

‘‘The suit should follow the normal procedure as provided for in the Civil Procedure Rules,” ruled the judge.

And on November 15, Mr Kibaki appeared in court.

At the end of his testimony, the retired president asked the court to allow the directors to reach an out of court settlement and said he will be involved in the talks.

The judge is yet to make a ruling on the application.

The case will be heard on December 11.