Skeletons of the Standard Railway Gauge (SGR) land acquisition process have returned to haunt Kenya Railways Company following revelations that it could have irregularly acquired 74 acres of land where the SGR terminus in Nairobi sits.
The company is also at the centre of a probe by Parliament over the now controversial purchase and payout of Sh2.7 billion for another 55-acre piece of land also occupied by the SGR and acquired from the Dupoto/Darfur settlement welfare scheme.
Details before the National Assembly Committee on Lands reveal that Railways bought the land from the Dupoto/Darfur settlement welfare scheme under compulsory acquisition but without following due process and without the relevant land titles.
It also emerged that since the construction of the SGR in 2015, members of the scheme were yet to receive payment for the 74 acres from Kenya Railways.
The Scheme’s chairperson Likam Ole- Kiambu told the Lands committee that the two parcels of land were part of the Nairobi block 125/2173 situated in Embakasi, Nairobi County and measuring 93 acres.
The MP Joash Nyamoko-led committee heard that the land had been under the scheme’s possession through allotment letters since 1958, and that it was in the process of acquiring title deeds for the same before the purchase by Railways.
“The total acreage of the land was 168 but later Kenya Railways took seventy-four acres…the payment for the 74 acres is what we are now pursuing. At the time we were not compensated for lack of documents. The area is what is now occupied by the SGR,” said Ole-Kiambu through the settlement’s lawyer.
His statement was in response to a question by Kaloleni MP Paul Katana who had sought to know the current status of the land in light of a dispute over the same.
“So, you are telling this committee that Kenya Railways took this land before you got the necessary documents and that the probability of you getting paid is fifty, fifty?” Posed Katana.
To which Ole-Kiambu answered in the affirmative.
And in the wake of the sale of 55 acres to Kenya Railways at Sh2.7 billion and the contested pay out to members, the MPs sought to get to the bottom of allegations that some of the welfare members were forcefully evicted from the said parcel of land as part of the compulsory acquisition programme.
According to documents tabled before the House team, members of the welfare scheme claimed that despite having lived on the land for decades, members of the scheme were unjustly compensated with some receiving as little as Sh50,000- an amount they deemed as grossly inadequate.
They also claimed that their forceful eviction led to a loss of land rendering many of them homeless, while the authorities failed to adhere to legal and procedural requirements governing compulsory acquisitions.
Members also claimed that the compensation funds were fraudulently allocated to political figures and law firms benefitting at their expense.
“The noise you hear today about the billions that were paid to the scheme did not start today. I know members (of your scheme) who say they did not receive any payment despite having certificates. As a witness, I know around 10 members who are waiting to get the funds,” said Kilome MP Thuddeas Kithua.
The Committee chair, expressed concern on learning that Railways forked out the billions of shillings and bought the land on the strength of a letter from Ole Kiambu.
MP Katana further enquired about the criteria used to share the billions among the members.
“We need to know the basis on which the money was distributed. Was it through shares?” He posed.
To which Ole-Kiambu said that all the funds were paid through their lawyer and into the members bank accounts.
He however, went on to set the record straight on the certificates saying, “we are a scheme and not a company. Those claiming to have certificates from a Limited company are not our members.”
To ensure a thorough investigation and determination of the dispute involving Nairobi Block 125/2175, the Committee chair consequently directed that MPs conduct a field visit and physically inspect the land to ascertain its current status, occupation and ongoing developments.
Within 14 days, the Ministry of Lands is also required to verify the records at the Land Registry and provide information on the bona fide ownership of the land in question.
They will further determine whether the affected parties were fairly and justly compensated for the loss of their property In line with legal provisions and market value rates. The committee will also conduct a review to establish the total number of beneficiaries compensated, the amounts received by each and whether all the eligible beneficiaries have been duly compensated.
“What we will be seeking to establish is what was the exact amount disbursed by the Kenya Railways for the compensation of the members of the Velfare Scheme? Was the compensation fully accounted for?” Posed the chair.
