Markets & Finance

Tatu shareholders accuse registrar of removing caveats

tatu city

Renaissance group managing director Arnold Meyer explains the concept of Tatu City. Photo/FILE

The Sh240 billion Tatu City development project took a new twist on Tuesday when the minority shareholders accused the Registrar of Titles of removing caveats registered against two parcels of land in Kiambu County.

Ms Rosemary Wanja and Mr Stephen Mbugua Mwagiru through lawyer Mr Paul Wamae brought the attention of the removal of caveats to Justice Daniel Musinga and urged him to summon the land official in court to explain the anomaly.

Majority shareholders through Mr Ochieng’ Oduol said there was no indication that the two parcels of land LR 11486 and LR 11285 had been disposed off or any encumbrance registered against the titles since the caveats were removed on May 28.

The judge directed the minority shareholders to file a formal application and serve the Registrar of Titles and majority shareholders within one week.

The respondents will also file their response within the same period and return to court on October 12 for further directions.

On April 16, Lady Justice Mary Ang’awa ruled that suits delaying the construction of the multi-billion-shilling project be consolidated and heard by one judge. The cases are now being heard by Justice Musinga.

READ: Judge orders that Tatu City cases be consolidated

The Tatu City project, led by Moscow-based investment bank Renaissance Capital, is to be constructed on 1,000 hectares in Kiambu county to accommodate 62,000 residents.

READ: Tatu City eyes Sh20bn tax refund on infrastructure

On January 27, Ms Wanja, Mr Mbugua and an advocate Mr Robert Githui got a reprieve after the High Court temporarily stopped the criminal charges facing them in the magistrate’s court, pending the determination of an appeal.

The three were charged with forging documents indicating they were the only bona fide directors of the company and using fake title deeds to discredit the shares of fellow majority directors.

They were also accused of instructing the Registrar of Titles to remove the caveats in the vast coffee farm. They have since appealed against the ruling.

Ms Wanja and Mr Mwagiru are pursuing a winding up case on the grounds that the majority shareholders have blocked them from running the affairs of the real estate firm.