Borabu settlers challenge government over 60-year-old land debt claims
Residents of the Borabu Settlement Scheme in Nyamira County have challenged the credibility of government records being used to demand repayment of land settlement loans issued more than five decades ago.
The residents accuse the Ministry of Lands of relying on questionable historical records to revive debts they insist were settled decades ago, with some demand letters reportedly issued in the names of beneficiaries who died many years ago.
At least 300 beneficiaries, including deceased settlers, have reportedly received demands from the Director of Land Adjudication and Settlement to clear alleged outstanding loans advanced in the 1960s and 1970s.
The affected areas include Mwongori, Matutu, Nyansiongo, Kineni and Esise, where families fear that inaccurate government records could expose them to fresh financial claims over properties whose ownership was settled generations ago.
In a 29-page demand letter dated October 30, 2026, Momanyi & Associates Advocates, representing the Borabu Residents Association (BRAM), accused the government of initiating debt recovery without first establishing the authenticity of the alleged outstanding balances.
The law firm, whose senior partner is former Borabu MP Ben Momanyi, has given Lands Cabinet Secretary Alice Wahome, the Attorney General, Land Settlement Fund Trustees and the Director of Land Adjudication and Settlement 14 days to address the complaints or face legal action at the Environment and Land Court.
Dr Kennedy Omanga, a lawyer and member of a committee representing the affected residents alongside former MP George Omari Nyamweya and other community representatives, said many original beneficiaries had already repaid their loans and received title deeds.
He noted that some settlers subsequently transferred their properties to their children, while others sold them to new owners, making the renewed demands particularly unsettling for affected families.
“How can the government demand payment for loans dating back 50 to 60 years without first establishing whether the original beneficiaries actually owe the money? These are matters that should have been settled decades ago,” Dr Omanga said.
He questioned why the ministry had failed to provide individual loan statements detailing the original amounts advanced, repayments made and balances allegedly outstanding.
The residents argue that blanket figures showing principal amounts and accumulated interest cannot establish indebtedness without a proper reconciliation of individual historical accounts.
The credibility of the records has also come under scrutiny following reports that some demand letters were issued in the names of deceased settlers.
Among the families reportedly affected are those of former Cabinet ministers Simeon Nyachae and James Nyamweya, as well as Mamboleo Onsando, Andrew Omanga, John Silas Nyamato, Nelson Nyariki Nyamongo, Momanyi Oseko, father of Ben Momanyi, and Johnson Orina.
The lawyers contend that issuing demands in the names of deceased beneficiaries is legally ineffective and has caused unnecessary anxiety among families who believed their land ownership matters had been conclusively settled.
They have also raised concerns over cases involving combined debts attributed to different beneficiaries and parcels of land, as well as principal amounts they consider implausibly high.
The residents are now demanding a forensic audit of Land Settlement Fund records, verification of individual loan accounts and correction of what they describe as an unreliable government database.
They also want detailed statements showing each beneficiary’s loan history, the removal of unlawfully accumulated interest and the discharge of charges where applicable.
“The relief cannot solve the problem if the principal figures being demanded are themselves disputed,” Dr Omanga said, calling for consultations with affected families before further recovery action.
The dispute comes against the backdrop of Gazette Notice No. 56, published on March 27, 2026, through which the government announced a waiver of accumulated interest and penalties on loans issued under the Land Settlement Fund.
Under the programme, beneficiaries are required to settle outstanding principal balances by February 14, 2027, while accumulated interest and penalties are waived.
However, the Borabu residents argue that the relief programme cannot be fairly implemented when the underlying principal balances have not been independently verified.
They are also questioning the legality of the debt waiver, arguing that Lands Cabinet Secretary Alice Wahome lacked the authority to waive public debt, a mandate they contend rests with the National Treasury.
The lawyers have cited Articles 201 and 210 of the Constitution and Section 77 of the Public Finance Management Act in support of their position.
They further claim that the Gazette notice was not submitted to Parliament within the seven sitting days required under the Statutory Instruments Act and that the government failed to undertake public participation before its publication.
The demand letter also questions the directive requiring beneficiaries to use an SMS number to make payments, arguing that the arrangement raises concerns about compliance with public finance procedures.
The residents say implementation letters dated March 27 were only delivered through local chiefs on October 7, leaving beneficiaries with limited time to respond to the government’s demands.
They further argue that some of the claims are time-barred under the Limitation of Actions Act, while accumulated interest in certain cases allegedly exceeds the original principal, raising questions about compliance with the in duplum rule.
The lawyers have warned that failure to address the complaints within 14 days will trigger a constitutional petition seeking judicial review, injunctions and a declaration that the contested Gazette notice is invalid.
Kenya established settlement schemes after independence to address landlessness and expand African land ownership. Under the programme, the government facilitated the acquisition of former large-scale farms through loans advanced to beneficiaries, including financing for land development.
Section 35 of the Land Act, 2012, provides for the establishment of the Land Settlement Fund.
According to the Ministry of Lands, Kenya has 520 settlement schemes across 26 counties, with 484 registered and 36 undergoing registration.
The national debt relief programme is estimated to involve approximately Sh12.3 billion in waived interest and penalties. However, the waiver does not cancel outstanding principal balances.
For the Borabu families, the central question is whether the government can establish, through credible individual records, that the decades-old debts it is seeking to recover are genuinely outstanding.
