Ng’ati farmers land buying company to be probed over Sh500m land scam (Nakuru County)


[Source: The Standard, by Antony Gitonga]

Over 500 members of Ng’ati farmers land buying company in Naivasha have lost huge sums of money after some directors failed to honour their obligations despite receiving Sh505 million from a State agency, a report has revealed.

The investigation report of the ad hoc committee on Ng’ati farm alternative dispute resolution mechanism shows that KenGen paid Sh505 million for land but only Sh92 million was shared among members.

According to the report of the committee set up by Nakuru Governor Lee Kinyanjui in 2018, the land buying company sold 3,093 acres of land to the Kenya Electricity Generation Company (KenGen) for geothermal drilling.

Of the amount, law firms that represented the parties in the transaction and auctioneers were paid over Sh300 million.

The report says some Sh82 million was unaccounted for.

The committee has asked the Directorate of Criminal Investigations (DCI) and the Ethics and Anti-Corruption Commission (EACC) to investigate some top officials of KenGen, the law firms involved in the transactions and directors of the company over the saga.

The report accuses the power generating company of failing to adhere to procurement rules and obtaining the land without the knowledge of the members.

It further notes that KenGen ought to have conducted a public participation forum in line with the Constitution to ensure the members were aware of the sale.

It says KenGen failed to involve the National Land Commission (NLC), which is the custodian of all public land, adding that the deal was irregular.

“The committee finds that the sale of 3,093 acres of LR 8398/2 to KenGen at a cost of Sh505m was irregular,” reads the report.

But according to KenGen, the sale was above board.

When the KenGen management appeared before the committee, it said they approached the directors of the land buying company who agreed to sell the parcel after presenting the minutes from the members who had approved the deal.

In its submissions by various senior managers who included Jennifer Oduor, Jane Mbogo and Cornelius Letei, KenGen said it followed the law in acquiring the land.

The chairman of the land buying company, Patrick Karanja, also termed the deal clean as all their members were involved and a Sh505 million deal entered.

The investigation committee found that Karanja violated the terms-of-office rule requiring that his team serves for a maximum of two terms of three years each. The management committee stayed in office for 17 years.

[Full article: The Standard, by Antony Gitonga]


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