The Kenya Railways Corporation (KRC) has been stopped from paying Sh2.75 billion as compensation for over 180 members of a settlement scheme, whose 93 acres of land was acquired by the government for the construction of the Standard Gauge Railway line (SGR).
KRC was blocked from releasing the billions to the law firms of Johnson & Partners Advocates LLP and Sankale & Co. Advocates pending the determination of a case filed by aggrieved members of Dupoto/Dafur Settlement Welfare Group.
Meanwhile, an official of Dupoto/Dafur Settlement Welfare Group, Mr Joshua Memusi Meisi was charged with defrauding an investment company of Sh52.3m claiming he was in a position to sell a portion of the 93 acres, which had been acquired by the government to enable KRC to develop SGR.
It is on this parcel of land where the modern Syokimau Railways Station (SGR) terminus is built.
Mr Meisi who was charged before Milimani Senior Principal Magistrate Bernard Ochoi, denied two counts of defrauding Kitui/Mwingi Investors Cluster Sh52.3 million alleging he would sell them an acre of the prime land.
In the dispute over the payment of the Sh2.75 billion to two law firms, Lady Justice Njoki Mwangi enjoined six other petitioners in the case.
The judge ordered all parties in the case filed by lawyer Thomas Letangule to exchange pleadings in the case before February 26, 2024 when trial begins.
The case was filed in court two weeks ago and the over 180 members of the settlement scheme are asking the high court to block two law firms from being paid the Sh2.75 billion on their behalf in compensation.
