Pay property owners Sh2.4bn for bypass land, NLC ordered
A cargo train leaves for Nairobi via Mombasa's Southern Bypass on February 12, 2021.
The National Land Commission (NLC) has been ordered to pay, within 30 days, property owners Sh2.4 billion for their land compulsorily acquired by the government for the Mombasa Southern Bypass project.
Justice Lucas Leperes issued the orders after finding that the landowners are entitled to a full, fair, prompt and just compensation for the compulsory acquisition of their parcels of land measuring 88.6 acres. “The law demands that where land has been acquired compulsorily from an owner that just compensation is to be paid in full to the said affected persons,” he said.
The judge directed that the compensation is strictly for the Southern Bypass project after finding that the petitioners in the case had tabulated amounts that included land parcels acquired for the Standard Gauge Railway (SGR) project
Justice Leperes rejected the tabulation for the two projects noting that just as the owner must be compensated, so too must the public coffers not to be looted.
“The petitioners were well aware that the project which the NLC published in the Kenya Gazette was only for the Mombasa Southern Bypass project. The fact that they quoted a sum that included the SGR project is an act of mischief and greed intended to loot the national government,” said the judge.
The judge has at the same time ordered the commission to open a joint escrow bank account with advocates representing Kahia Transporters Ltd and deposit another Sh1.4 billion within the next 30 days to await for the outcome of the Land Surveying exercise, the site visit by the court and further orders of the court.
The court has directed the parties in the dispute to, within 60 days, file their valuation report assessing the market value of each property at the time the notice of intention to acquire was published in the Kenya Gazette.
“These reports will enable the court to assess the compensation award to be paid to the land owners,” the judge said.
Creek Port Commission, Semix Enterprises, Miritini Freeport Ltd, Mjad Investment Ltd and Kahia Transporters Ltd amongst other land owners had moved to the court to complain against failure by the NLC to compensate them despite their property having been acquired for the project.
According to the petitioners, the notice of intention to compulsorily acquire their properties were in relation to the Mombasa Port Area Road Development and the Mombasa Southern Bypass projects by the Kenya National Highways Authority (Kenha)
The companies stated that their plots were among several others that the Mombasa Southern Bypass project affected but the same were not gazetted in the initial notice issued by the NLC in 2014
But upon raising an objection, the NLC published an addendum of the gazette notice in 2016 giving notice of intention to acquire their property.
“Despite demands for payment, we are yet to be compensated even though our land had been taken possession of and used for the projects, which have been completed,” the firms said in court documents.
NLC’S Acting Director Valuation and Taxation Mr Mburu F.K, acknowledged that the commission had compulsory acquired the land.
However, Mr Mburu told the court that at the inquiry, the commission discovered that the petitioners had prepared and presented to the NLC a consolidated and grossly inflated claim comprising two different and unrelated projects.
The survey ordered by the court will help it to resolve a boundary dispute between Kahia Transporters and the other companies.
