The Ethics and Anti-Corruption Commission has given former Education Cabinet Secretary Fred Matiang’i, former Education Principal Secretary Richard Belio Kipsang and 23 others seven days to repay about Sh2.5 billion linked to the controversial Ruaraka land compensation.
The demand covers Sh1.5 billion in public money paid as compensation, together with interest. The EACC says the recipients must repay the money jointly and individually, with interest calculated at 12 per cent a year from the date the funds were released.
The notices were issued on August 10. The commission has warned that it will move to court if the money is not recovered within the seven-day period. It is also pursuing possible criminal charges against those it believes may have been responsible.
The latest action follows a July 3 judgment by the Court of Appeal, which upheld a finding that the land occupied by Ruaraka High School and Drive-In Primary School was public property and could not lawfully have been acquired by the government through compulsory acquisition.
A compensation dispute that has lasted years
At the center of the case is about 13.5 acres of L.R. No. 7879/4 in Ruaraka, Nairobi.
The land is occupied by the two public schools. The dispute began after private companies associated with the property sought compensation from the National Land Commission.
The Court of Appeal found that the land had been surrendered to the government as part of conditions attached to an earlier subdivision scheme. That meant the State already had an interest in the land set aside for public use.
The court therefore upheld the earlier Environment and Land Court finding that the NLC had no legal basis to compulsorily acquire the property.
The appellate court also upheld the finding that the Sh1.5 billion payment was unlawful.
EACC targets former government officials
In its demand notice to Matiang’i, the EACC alleges that he initiated the acquisition process despite knowing that the land was public and was being used by two government schools.
The commission says the conduct amounted to an abuse of office and a breach of public trust. Those remain allegations by the EACC and have not, by themselves, established criminal liability.
Kipsang, who was Education PS at the time, has also been named. The EACC alleges that he played a role in initiating the acquisition despite the public status of the property.
Former NLC chairman Muhammad Abdalla Swazuri is among the other people targeted.
The EACC says Swazuri approved a compensation figure of about Sh3.27 billion and directed the Ministry of Education to transfer funds to the NLC. About Sh1.5 billion was eventually paid to a private company, according to the commission.
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Former NLC officials also face recovery claims
The commission has also issued notices to former NLC officials Tom Konyimbih and Joash Oindo.
Konyimbih previously chaired the Land Acquisition and Compensation Committee, while Oindo served on the committee.
EACC alleges that the two approved or recommended the valuation of the property at roughly Sh3.26 billion.
The recovery effort is broader than the former officials. The commission has previously said it would pursue the private companies that received the Sh1.5 billion payment following the Court of Appeal decision.
The case has therefore moved beyond the question of whether compensation was legally payable. The immediate issue is whether public funds can be recovered and whether individuals involved in the process should face further legal action.
What happens next
The EACC says its criminal investigations into the transaction are at an advanced stage. It intends to pursue prosecution where evidence establishes individual culpability.
For now, the people named in the notices have seven days to respond to the commission’s demand.
If they do not comply, EACC says it will file civil recovery proceedings and seek to recover the money through the courts.
The Ruaraka case has already passed through several layers of litigation. The Court of Appeal’s July ruling settled a central question: the land occupied by the two schools was public land and the compensation payment was unlawful.
The next chapter will determine whether the Sh1.5 billion can be recovered and whether the officials and private parties accused of involvement will face further proceedings.
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