Kenya Insights

Tag: Tatu City Ltd

  • Postal Corporation Petitions EACC to Probe Kiambu Governor and Chief Officer Over Land Dispute Amid Extortion Claims

    Postal Corporation Petitions EACC to Probe Kiambu Governor and Chief Officer Over Land Dispute Amid Extortion Claims

    The Postal Corporation of Kenya (PCK) has petitioned the Ethics and Anti-Corruption Commission (EACC) to investigate Kiambu Governor Kimani Wamatangi and Chief Officer Njenga for alleged abuse of office in a contentious property dispute over a prime plot in Kiambu town.

    The move comes as Wamatangi faces separate accusations of attempting to extort KES 4.3 billion (USD 33 million) in land from Tatu City investors, amplifying concerns over governance and integrity in Kiambu County.

    The governor has since refuted the claims.

    The PCK dispute centers on a one-and-a-half-acre parcel hosting the Kiambu Post Office, claimed by both the corporation and the county government.

    PCK asserts legal ownership, backed by title documents and a recent joint boundary survey with county officials, while Wamatangi insists the land belongs to the county, leased to PCK for 99 years with about 30 years remaining.

    He claims traders were allocated space in 2018 when PCK was not using it—a narrative PCK rejects, citing its non-devolved status and outright ownership.

    The corporation accuses Wamatangi and Njenga, likely a key figure in county land management, of leveraging their positions to facilitate encroachment, prompting the EACC probe.

    In a public notice dated March 18, 2025, Postmaster General John Tunoi decried widespread encroachment on PCK properties nationwide, spotlighting Kiambu as a critical case.

    “The management of Postal Corporation of Kenya has noted with great concern the illegal encroachment of PCK properties by private developers and trespassers,” Tunoi stated, noting reports to the National Police Service, Directorate of Criminal Investigations (DCI), and EACC.

    The dispute escalated after traders’ structures on the land were demolished, with Wamatangi defending county plans to build kiosks and alleging a compensation deal—denied by PCK—for the supposed lease term.

    PCK’s efforts to secure the property have been thwarted by police inaction.

    On March 17, Tunoi sought Wamatangi’s cooperation post-survey, planning to fence the land the next day, but police support requested from the Kiambu sub-county commander never materialized.

    Earlier appeals to Inspector General Douglas Kanja and a trespass case (OB Number 51/17/03/2025) filed by PCK’s Mr. Njoroge were similarly stalled, with sources hinting at political interference.

    A 2018 court order restraining Kiambu County from interfering with PCK land in Thika remains unenforced, further fueling the corporation’s push for EACC intervention.

    Tatu City alleged extortion

    Concurrently, Wamatangi’s involvement in land-related fraud allegations has a long history, which was further exacerbated by the explosive July 2024 allegations from Tatu City, a Special Economic Zone developed by Rendeavour.

    The investor accused the governor and his advisor of attempting to extort over 40 acres of land, valued at KES 4.3 billion, by delaying approval of Tatu City’s new Master Plan for over 18 months.

    Tatu City, a significant foreign investor in Kenya, condemned Kiambu County Governor Kimani Wamatangi and his advisor for attempting to extort KES 4.3 billion (USD 33 million) in land.

    Preston Mendenhall, Rendeavour’s Chief Operating Officer, condemned Wamatangi at a Nairobi press conference, alleging the governor demanded free land—including for his residence—in exchange for approval.

    “It’s time to blow the whistle on Governor Wamatangi’s attempted extortion,” Mendenhall said, estimating the delay cost KES 16 billion in investment and 4,500 jobs.

    Tatu City presented a letter dated April 16, 2024, from County Executive Committee Member Salome Wainaina, demanding the “surrender” of land despite no legal basis under Kenyan law, which requires compensation for compulsory acquisition.

    The Master Plan, setting aside 103 acres for public use, followed a rigorous approval process, yet Wamatangi and Wainaina allegedly blocked it despite compliance.

    Tatu City, hosting 20,000 jobs and KES 385 billion in investments, urged the governor to cease interference.

    The dual controversies paint a troubling picture of Wamatangi’s administration, with PCK and Tatu City accusing him of exploiting his office for personal or county gain.

    In the latest scandal, neither Wamatangi nor Njenga has responded publicly to the EACC petition.

    The investigations could have far-reaching implications for Kiambu’s leadership and Kenya’s investment climate, spotlighting tensions between national entities, county governance, and private stakeholders.

    For now, the EACC holds the key to unraveling these high-stakes allegations.

  • Court Paves Way To Probe Tatu City For Money Laundering

    Court Paves Way To Probe Tatu City For Money Laundering

    The Directorate of Criminal Investigations (DCI) has once again secured court approval to access crucial documents from the entities behind Tatu City in an ongoing investigation into allegations of money laundering and tax evasion.

    In a recent ruling, Principal Magistrate Gideon Kiage at Kahawa Law Courts dismissed a challenge by Tatu City Ltd and Kofinaf Company Ltd aimed at nullifying an earlier court order. This order had permitted the DCI to seize documents pertinent to their investigation back in August.

    The two companies had argued that they were denied their right to fair action when the court issued orders allowing the seizure of the documents in August, following an application by the DCI.

    In a separate, but related ruling, the magistrate has allowed the DCI to also seize some documents from Lutta & Company Advocates which relate to various transactions involving the Tatu City project.

    Tatu City Ltd and Kofinaf Company Ltd filed an application arguing that the documents sought from the law firm are protected by advocate-client privilege.

    Magistrate Kiage held that the cited privilege does not act as a shield against criminal activities, hence investigators can be granted access to documents if there is suspicion that they could aid in prosecution.

    Tatu City Ltd and Kofinaf Company Ltd argued that orders seeking warrants should only be issued after hearing from both sides and only after authorities have notified the subject of the ongoing investigation.

    But Magistrate Kiage in his ruling held that notifying a subject of the investigation before applying for warrants in courts opens the risk of jeopardizing evidence.

    The magistrate added that Tatu City’s case was an attempt to reopen the August application by the DCI, which initially gave way for detectives to investigate 10 companies behind the multibillion-shilling project.

    The magistrate added that an affidavit from the investigating authority is sufficient, and courts can issue the warrants and orders if the filed documents convince them that a crime may have been committed.

    “In the case of Okiya Omtatah & 2 others vs Attorney General & 4 others (2018) e-klr, it was observed that to give notice to the person to be investigated can easily jeopardize the incriminating evidence. The threshold for an application of this nature is met where the magistrate is persuaded that a crime may have been committed. I find in the end that the application herein is an attempt to re-litigate the application dated 6th August 2024 which by law is canvassed ex-parte,” Mr Kiage ruled.

    Sale agreements between related firms that dealt in the land, valuation reports for the properties, receipts, tax-related documents, loan paperwork and company ownership records were the subject of the application.

    Land transactions

    In the second application, Mr Kiage said that the documents the DCI is to seize from Lutta & Company Advocates are only the ones listed in court, and which relate to specific land transactions within Tatu City.

    From Lutta & Company Advocates, the DCI can now carry away certified copies of a sale agreement between Kofinaf Company Limited and Jomo Kenyatta University of Agriculture and Technology (JKUAT), a sale agreement between MJS Mansion Mauritius and Wanachuo Investment Limited and Dexamide Properties Ltd, in respect share purchase and a parcel registered as LR No.10877.

    Tatu City has sought to appeal both rulings at the High Court.

    Court papers have given a sneak peek into the DCI’s probe, which shows that it was also looking into possible illegal dilution of shares – irregular addition of shares intended to reduce existing shareholders’ percentage – and asset stripping.

    The DCI is also looking into possible forgery of documents.

    Detectives believe that directors of Tatu City Ltd and Kofinaf Company Ltd have been colluding with Lands ministry officials to undervalue land to lower tax liability during the sale.

    The proceeds of land sales, the DCI told the court, were transferred to offshore bank accounts as part of the alleged tax evasion scheme. The transfer of funds was allegedly aided by some law firms, which have not been expressly named in Magistrate Kiage’s rulings.

    The sale proceeds are allegedly shipped to offshore bank accounts, with Mauritius and Bermuda being some of the preferred destinations.

    After directors of Meteor Properties Ltd, Gunga Properties Ltd, Jojoja Properties Ltd and Purple Saturn Properties Ltd snubbed the DCI summons, detectives filed an application before the Kahawa Law Courts Chief Magistrate, seeking authority to cart away dozens of documents.

    Tatu City and Kofinaf said in their application that the DCI does not have legal authority to investigate tax evasion, an argument that the court dismissed.

    The DCI’s economic and commercial crimes unit has been investigating Tatu City Ltd, Kofinaf Company Ltd, Green Seal Properties, Zefus Properties, Meteor Properties, Gunga Properties, Zefus Properties, Splendor Investments, Jojoja Properties, Purple Saturn Properties and Daykio Plantations over the alleged money laundering and tax evasion scheme.

    The DCI in response to the applications filed evidence that the companies were not only informed of the investigations through summons but that former directors of Green Seal Properties and Zefus Properties tagged their lawyers along for recording of statements at Mazingira Complex in May.

    By the time the companies were being served with the court orders in August, Green Seal Properties and Zefus Properties Ltd had overhauled their boards and directed that any communication from the DCI be directed to their advocates, Anjarwalla & Khana.