This archive report was first published on 6 October 2019.
On October 3, 2019, Trusted Society of Human Rights Alliance Chairperson Elijah Sikona and his secretary George Ole Narok addressed the press in Nakuru, shedding light on a land deal involving former Vice President Joseph Murumbi that resulted in taxpayers losing Sh180 million.
The deal, which took place in September 2015, involved the Agricultural Finance Corporation (AFC) selling a 976-acre parcel of land to North Morgor Holdings at Sh65,000 per acre. However, according to valuation papers, an acre of land in the same area was valued at Sh250,000 in 2015, and today, land prices average Sh800,000 per acre.
Trusted Society of Human Rights Alliance claims that AFC undervalued the property, single-sourced a buyer, and hurriedly disposed of the property even as the late Murumbi's family sought to settle a loan he had taken using the land as collateral. The group wants the investigative agencies to compel the AFC management to produce land valuation documents that were used in the deal.
According to documents sent by the human rights lobby to investigative agencies, including the Ethics and Anti-Corruption Commission (EACC), Directorate of Criminal Investigations (DCI), and the Office of the Director of Public Prosecutions (DPP), the sale agreements and other documents produced in court by Murumbi's family indicate that the land was sold at Sh65,000 per acre.
Chairman Elijah Sikona stated, 'The AFC offered to sell the subject property to North Morgor Holdings at Sh63,440,000 which translates to Sh65,000 per acre.' Sikona further claimed that the deal was suspect since the property was undeniably undervalued.
The group also wants the Public Accounts Committee to probe whether the full amount of Sh63 million, which was to be cleared within 90 days, was actually paid and to which accounts it was deposited. Only Sh634,400 paid in November 2015 as stamp duty through Chase Bank can be verified to have gone to the government.
Trusted Society of Human Rights Alliance wants AFC management quizzed on whether they advertised the sale of the land and the involvement of an auctioneer during the process as required under the Public Property Procurement and Disposal Act.
