NLC on the spot over Sh4bn withheld from landowners

National Lands Commission Chairman Gershom Otachi

Photo credit: Bonface Bogita| Nation Media Group

The National Land Commission (NLC) is in the spotlight for holding onto at least Sh4 billion meant for the compensation of Kenyans displaced to allow for the construction of roads and other projects.

NLC chairperson Gershom Otachi has been summoned to appear before the Senate Committee on Roads tomorrow to explain the delayed payments.

He failed to appear before the committee and wrote to the team yesterday morning asking to show up at a later date as he had a scheduled event with Head of Public Service Felix Koskei.

The lawmakers are concerned that the commission is still holding onto at least Sh2.98 billion in compensation money for project-affected persons in the James Gichuru-Rironi Road project.

The committee chaired by Kiambu Senator Karungo Thang’wa heard that the Kenya National Highways Authority (KeNHA) had already released at least Sh10 billion to the commission for compensation of the affected individuals.

However, only Sh6.52 billion has so far been released to 1,338 people out of the 2,444, with another Sh587.5 million owed to 313 people being processed.

According to documents submitted to the committee, only 65 percent of the affected individuals have been compensated.

The KeNHA, on the other hand, is yet to remit some Sh791.22 million out of the total compensation amount of Sh10.09 billion.

“Owing to the fact that this is an important meeting because the government took people’s land and did not compensate them, we need to crack the whip,” said Mr Thang’wa.

“Giving any excuse to delay the appearance will be delaying justice to the people. I am summoning the chairman of NLC to appear before this committee on Thursday.”

The committee chairperson put the commission on the spot for sitting on billions of shillings meant to compensate Kenyans who surrendered their land, including homes, to allow for the implementation of projects.

Mr Thang’wa said that out of the Sh1.9 billion landowners in Kiambu are supposed to receive for their land used to construct the Western bypass, only about Sh600 million has been released by the commission.

Another case involves the Kibwezi-Mutomo-Kutui-Migwani road project, where residents were supposed to be compensated to the tune of Sh694.98 million.

The senator said the committee has been informed by KeNHA, which implemented the project, that some Sh281 million was released to NLC two years ago to compensate those affected.

However, only Sh180 million has been paid out, leaving the commission holding onto Sh101 million.

“Why is the commission not paying the locals? The money has been there since the financial year ending June 2021,” Mr Thang’wa said.

Kitui Senator Enoch Wambua said NLC has failed to pay despite receiving funds from the project implementing agencies.

He termed NLC’s action frustrating to the locals and demanded to know where the money was.

“We are beginning to wonder whether there is no way out of this. KeNHA told us that they gave NLC Sh280 million, but only Sh180 million has been paid. Why is NLC still holding onto this money?” asked Mr Wambua.

“It is a very frustrating thing. This Sh100 million has been held by NLC for more than two years, going into three years now. In which account does this money exist? Who is benefiting from the interest?” he asked.

The Kibwezi-Mutomo-Kitui-Kabati-Migwani road project was launched by then President Uhuru Kenyatta in 2017.

The project was undertaken by the Chinese firm Sinohydro Corporation and was set to be completed in May 2022.

In yet another case, the committee noted that the construction of the Sh38.82 billion Mombasa Gate Bridge has not started due to delayed compensation.

Often, NLC has cited delayed release of funds by the project implementing agencies, lack of land ownership documents, family feuds and court cases for the delayed payments.

The committee seeks to know from NLC the status of compensation of project-affected persons by infrastructure projects across the country.

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