Nandi Senator Samson Cherargei has initiated a parliamentary inquiry into the Chatur Group of Companies, alleging that its subsidiaries violate Kenya's Advocates Act by offering unlicensed legal services. The probe targets Leo Investment, Skyline Investment Limited, and other firms registered as marketing entities but allegedly operating as legal practices, following revelations of their involvement in gold trade fraud networks.
The senator requested the Committee on Justice, Legal Affairs and Human Rights to verify if these companies employ licensed advocates and assess regulatory responses from the Law Society of Kenya and Advocates’ Complaints Commission. He cited risks to clients after recent crackdowns on fraudulent gold trade operations, including cases where unregistered law firms facilitated transactions for Nigerian scammer Hushpuppi, enabling victims to lose millions through fake gold deals.
Madatali Chatur, the reclusive businessman behind the Chatur Group, built an empire starting from an electronics shop in Nairobi’s River Road in 1977. His companies now own over 32,499 acres in Kwale and Malindi, along with commercial properties like Diamond Plaza and the Concord Hotel. However, his wealth has been shadowed by legal battles, including a 2010 court fine for violating construction bans on New Muthaiga Shopping Mall.
Chatur’s business practices have drawn scrutiny since the 2018 extradition of the Akasha brothers—sons of slain drug baron Ibrahim Akasha—to the U.S. for trafficking charges. U.S. Drug Enforcement Agency investigations linked Kenyan elites to drug networks, with sources alleging Chatur’s offices hosted suspects tied to the Akasha organization. His political connections, including ties to former President Daniel arap Moi’s regime, have long fueled speculation about his wealth sources.
Recent legal challenges include a 2019 court ruling rejecting Chatur’s attempt to block a human trafficking investigation. The case highlighted his history of contested land acquisitions, including a decades-old dispute over a Westlands property involving the Anglican Church. In 2021, Chatur’s companies faced renewed scrutiny after a DCI operation uncovered their involvement in fraudulent financial schemes.
The Chatur Group’s real estate portfolio includes 16 companies with prime land in Nairobi, Mombasa, and Turkana. Despite his wealth, Chatur has faced repeated court rulings against him, including a 2010 contempt of court penalty and ongoing land disputes. His son Rahim co-owns many of the firms, while his business partner Ashraf Savani holds stakes in ABC Bank.
Chatur’s legal troubles date back to 1990, when he was implicated in a forged Treasury Bills scandal. A 2005 land dispute over a Westlands property involving the Anglican Church led to a 2006 court case, with records showing a sale agreement for Sh27 million that was later contested. His 2010 contempt of court penalty stemmed from unauthorized construction on New Muthaiga Shopping Mall, a project tied to a 1982 land allocation dispute that remains unresolved.
