Mombasa Governor Ali Hassan Joho has received a huge blow after losing property worth Sh6 billion in a court wrangle.
The property linked to Joho’s family firm was disputed by Billionaire Francis Mburu, who has been awarded the property as the legal owner.
The decision by an arbitrator Zehrabum Janmohamed, a Nairobi lawyer stated that the property, situated in Jamhuri Estate along Ngong Road in Nairobi, legally belongs to Exclusive Estates Limited (EEL), which is associated with Mr Mburu.
The decision also affected Aftraco Limited, which also claimed the land that was initially owned by the defunct Kenya Posts and Telecommunication Corporation (KPTC), currently Telkom Kenya.
According to the details of the ruling, the trader did not purchase the plot. However, he was handed the land on the deal orchestrated by the state three decades ago where he was to develop the property. He therefore was awarded the legitimate claim to the land.
“It’s declared that the Deed of Assignment dated 15th January 2009 between Postel Housing and Exclusive Homes and the decree issued in this regards on 22nd January 2009 are valid and binding on this tribunal,” stated Janmohamed
The same trader had been in controversial cases regarding lands, with the most famous one being the Ruaraka Land Saga that is still under investigations with the Ethics and Anti Corruption Commission (EACC).
The property has been embroiled in court cases, with Janmohamed appointed as the sole arbitrator in May 11, 2011 by Justice Muga Apondi.
Joho’s family firm entered the deal to buy the entire parcel of land in 2011 at Sh 1.52 billion, with Sh152 million payments already made.