This archive report was first published on 16 December 2019.
On December 16, 2019, Business Daily reported that Diamond Property Merchants, a land buying and selling company associated with Tigania East MP Josphat Gichunge, was facing the loss of one of its prime properties due to defaulting on a loan from Consolidated Bank.
The 28-acre freehold land located on Kangundo Road, Machakos, was advertised for sale through Leakey's Auctioneers, putting hundreds of buyers who had purchased the land at risk of major losses.
According to an official at Leakey's Auctioneers, the property would be sold as a block to recover the money owed to the bank, but the exact amount was not disclosed due to bank-client privacy issues.
Tigania East MP Josphat Gichunge, who is also a director of Diamond Property Merchants, acknowledged the auction notice and stated that the company was in touch with the bank to resolve the matter.
Mr. Gichunge attributed the company's financial difficulties to a temporary setback that they hoped to resolve soonest.
