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Businessman Sues Kabogo Over Alleged Runda Land Grabbing

Former Kiambu Governor William Kabogo has been sued for allegedly grabbing prime land in Runda.

The former Juja MP has been dragged to the corridors of justice by businessman Kimani Kabogo who alleges that he put up a real estate project without his consent.

Court documents show that Kabogo built Iguta Paradise Homes in 2018; a project that was supposed to bring in a whopping Sh2.5 billion.

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The plush estate consists of 60 housing units, each being sold for Sh42 million.

The businessmen have been engaged in a legal battle since 2017 when Kimani first moved to the High Court seeking a Sh387 million compensation. The court ruled in Kabogo’s favour, forcing the complainant to move to the Appellate court.

The Court of Appeal is set to determine whether Kimani is deserving of a slice of the project.

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In 2018, Justice Lucy Gacheru ruled that the court lacked the authority to continue with the hearing of the dispute in the absence of a formal contract and proof that Kabogo was to keep the land in trust for Kimani.

What is not in contention is that the complainant owned the properties in the 1990s but put them up as collateral for Sh15 million loans from NIC Bank (now NCBA) and ICDC.

The loans were issued to his Kenya Modern Digitals company.

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In September 2000, NCBA threatened to sell the properties in a bid to recover their Sh10 million and 20 percent interest. It is then that Kimani sought Kabogo’s help.

The former governor was to hold on to the title deeds in trust for the complainant. But in 2003, Kabogo helped offset the ICDC loan.

Further, Kimani claims, the former legislator was nowhere to be found in 2006 hence the court proceedings.

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But according to Kabogo, NIC and ICDC sold the land to his company, Arcoverde Kenya Limited, by private treaty (when a lender opts to negotiate the price with a specific property buyer instead of a public auction), after Kimani failed to service the Sh15 million loan.

Kabogo also argues that Kimani has no right to compensation because he consented to the transfer of the land and signed the necessary documents.

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