[Source: Daily Nation, by Brian Wasuna]
On December 30, 2002, an 11-acre plot in Karura forest was transferred to York Worldwide Holdings, which is now staring at a reported Sh1.3 billion loss following a court ruling that gave a legal nod to the government’s bid to repossess the prime property.
York Worldwide Holdings sued the Kenya Forest Service (KFS) and the Attorney General arguing that the Gigiri land had been unlawfully repossessed.
The firm had invested $13 million (Sh1.3 billion) in a plan to put up hotels, offices and serviced apartments to serve the diplomatic community.
The firm is registered in the British Virgin Islands but its director, Mr Bernard Haissly, as listed in court papers, is based in Switzerland.
York Worldwide bought the land from Sian Enterprises, Masai Villas Limited and Star Prime Limited.
Sian Enterprises, Masai Villas Limited and Star Prime Limited each sold a parcel to York Worldwide. Sian Enterprises is associated with retired President Daniel Arap Moi and his former private secretary Joshua Kulei.
High Court Judge Samson Okong’o has now dismissed York Worldwide’s petition, ruling that the land is part of Karura forest and was never available for sale.
Dealings with the land started in May 1989 when American development agency USAID made a bid for 20 acres of land in Gigiri to put up its headquarters.
Former commissioner of lands Wilson Gachanja, on May 5, 1989, wrote to the Ministry of Environment and Natural Resources, which then issued a 28-day gazette notice to the public of the intention to alter Karura forest’s boundaries.
USAID declined to take the 20 acres but The World Agroforestry Centre (ICRAF) was allocated a 7.4-acre plot, where it built its Kenya headquarters.
The three firms then sold that portion to York Worldwide on December 30, 2002. Only 1.4 acres was reverted to Karura forestland.
In its petition, York Worldwide argued that repossessing its land and letting ICRAF retain the allocated 7.4 acres was discriminatory.
The KFS however insisted that once USAID turned down the land, the entire acquisition process collapsed and the land reverted to Karura forest.
Justice Okong’o ruled that the title deed acquired by Sian Enterprises, Masai Villas Limited and Star Prime Limited was illegal and there was nothing to transfer to York Worldwide.
The judge added that York Worldwide should have filed sale agreements between it and the previous owners, which would have served as evidence that the foreign investor acted in good faith while purchasing the land and had nothing to hide.
The judge added that York Worldwide should have filed sale agreements between it and the previous owners, which would have served as evidence that the foreign investor acted in good faith while purchasing the land and had nothing to hide.
[Full article: Daily Nation, by Brian Wasuna]
