MP ‘exposed ICT land fraud’
Malili Ranch directors Julius Kilonzo (left) and Peter Kanyi in a Nairobi court on Monday at the hearing of a case in which they are charged with stealing about Sh143 million. They denied the charges and are out on Sh500,000 cash bail. Photo/PAUL WAWERU
What you need to know:
- Muthama told ranch shareholders how directors were secretly paid
A member of Parliament blew the whistle on the alleged theft of millions of shillings by directors of Malili Ranch, a court heard on Monday.
The directors allegedly sold 5,000 acres of land to the government at a cost of Sh1 billion without the approval of shareholders.
Mr Stephen Mbuti, a shareholder, told chief magistrate Gilbert Mutembei that Kangundo MP Johnson Muthama told him and others about secret payments that had been made to directors Josiah Munuka, now deceased, Peter Mutua Kanyi, and Julius Maweu Kilonzo.
Mr Mbuti said the MP produced copies of cheques issued to the three by a lawyer, Mr Erick Mutua “who negotiated the sale on behalf of Malili Ranch Ltd.”
“On the strength of those cheques, I and the others reported the matter to the Criminal Investigations Department,” Mr Mbuti told the magistrate.
He said the government’s decision to acquire the parcel of land to build a multi-billion shilling ICT park was well intentioned and was welcome as it would benefit the area, the country, and the African continent.
Mr Mbuti said efforts to establish the truth about the sale of the land were blocked by a court order issued in Machakos. He added that police also barred them from entering the Malili Ranch offices on November 14, 2009.
Mr Mbuti was testifying in a case in which Mr Kanyi and Mr Kilonzo have denied stealing more than Sh143 million from Malili Ranch Limited.
He told the court that he did not know if his 7.8-acre piece of land was part of the parcel that had been hived off and sold to the State.
Another witness, Mr Benjamin Muthoka, said the land he had been allocated was sold but he had not been paid the proceeds.
Mr Muthoka told Mr Mutembei that a search at the Lands office revealed that ownership of the land he was allocated after balloting was changed and sold.
“I did not get the proceeds from the directors. The original map was changed. I had balloted number 1,032 but in the new map, I am number 2,515,” he told Mr Mutembei.
The case was adjourned to July 2, when the prosecutor, Mr Onesmus Towett, will be available.
Mr Kanyi and Mr Kilonzo are out on a cash bail of Sh500,000.
