alexa Man wants trader probed over prime city land - Daily Nation

Man wants trader probed over prime city land

Monday April 2 2018

National Land Commission

National Land Commission Chairman Muhammad Swazuri, accompanied by other members, speaks before the Parliamentary Accounts Committee at Parliament Buildings on March 13, 2018, regarding land compensations. PHOTO | DIANA NGILA | NATION MEDIA GROUP 

DAVID MWERE
By DAVID MWERE
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A petitioner wants MPs to investigate how an individual was allegedly paid billions of taxpayers’ money by the government for acquisition of pieces of land he did not own.

Mr Dominic Kitheka wants the Lands Committee of the National Assembly to investigate how Mr Francis Mburu has continued to benefit from the 96- acre land in Ruaraka, Nairobi, whose title LR No.7879/4 he allegedly used to secure a loan from Continental Credit Finance Limited but never paid.

Although he did not reveal the figure, Mr Kitheka alleges that Mr Mburu used his two companies; Afrison Export and Import Limited and Huelands Limited to acquire the loan in 1981 and that because the loan remains unpaid, he ceased to be the bona fide owner of the land.

“The committee investigates the history surrounding the title LR No. 7879/4, its original ownership, to whom it has been transferred and what became of it after it was used to secure the loan,” the petition reads.

BALANCE
Mr Mburu is allegedly the director of the two companies that are also at the centre of Sh3.3 billion in compensation from Ministry of Education for the same parcel of land LR No. 7879/4 on which now stands Ruaraka High School and Drive- In Primary School.

In the January 16, 2018 letter addressed to the Principal Secretary Ministry of Education Dr Belio Kipsang, National Land Commission (NLC) confirms that Sh1.5 billion has been paid to the commission’s bank account for onward transmission to the two companies.

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This is according to a document NLC submitted in the National Assembly on March 29, 2018.

The balance of Sh1.8 billion is expected to be settled once the National Assembly approves the Supplementary Budget II, which was adopted by the Cabinet last week.

The two schools are located on the 96 acre- land. The latest acquisition is a subject of the parliamentary investigations.

LEGAL PAYMENT
NLC chairman Muhammad Swazuri defended the payment when he appeared before the Lands committee last week alongside chief executive Tom Chavangi and director of Valuation and Taxation Ms Salome Munubi.

“The commission wishes to state that the payment was done in conformity with the laid procedure of land acquisition,” Dr Swazuri said.

Mr Kitheka gives details of how despite Mr Mburu’s alleged failure to clear his loan, using his two companies, “strangely and fraudulently”, sold the entire 96 acres of land to the defunct Kenya Post and Telecommunications Corporation on June 28, 1983.

“On diverse unknown dates, the two companies once again fraudulently hived off from the same parcel of land some 37.4 acres and later claimed for compensation from the government,” Mr Kitheka’s petition reads.

FRAUD
He claims that the 37.4 acres is where the current headquarters of the General Service Unit (GSU) of the National Police is located.

The petitioner further alleges that on February 12, 2012, a high court consent judgment was entered fraudulently without disclosure of material facts by all parties in favour of the two companies for Sh4.1 billion as the fair value for the 37.4 acres.

The petition claims that the government valuer was never involved in the valuation of the land.

Mr Kitheka claims that negotiations involving the Office of the President and that of the Attorney-General saw the judgement figure reduced to Sh2.4 billion.