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Court to rule on ownership of disputed Dari property in Sh1.9 billion case between Tuju and EADB. [File Courtesy]
The Commercial Court in Nairobi will next month decide on the fate of the contested multimillion shillings property pitting former Rarieda Member of Parliament Raphael Tuju against East Africa Development Bank (EADB).
After hearing rival submissions on whether Dari Property is now owned by Tuju or Ultra Eureka, Justice Moses Ado directed that he will rule on the application filed by Tuju on May 7, 2026.
Initially, the Judge had directed that the title should not be transferred until an application he filed before the court is heard and settled.
However, declined to issue other prayers sought in the application, including suspension of Justice Wayua Mong’are’s ruling, saying that the orders sought were far-reaching in nature and could not be issued without giving the other parties a chance to be heard.
“I give an order restraining any transfer or assignment of the title subject to these proceedings pending the hearing and determination of this application,” ruled Justice Ado.
However, the orders could have come too late in the day as Ultra Eureka Limited, the firm that purchased the Karen property, had earlier told the court that the property had already been transferred in February last year and it had subsequently used the same to secure a Sh284 million loan from the Kenya Commercial Bank.
“The 10th defendant paid the purchase price in full and the 2nd defendant issued it with the completion documents, including the Transfer, to enable the Chief Land Registrar effect the transfer of the subject property in favour of the 10" defendant. The subject property was subsequently transferred in favour of the 10" defendant, who has since charged it to Kenya Commercial Bank Ltd. The 10th defendant is now the registered and lawful owner of the subject property, having bought the same from the second defendant in the aforementioned public auction on October 1, 2024,” the firm said in its reply to Tuju’s case.
In her ruling, Justice Mong’are said that the case against East Africa Development Bank (EADB), real estate company Knight Frank Valuers Limited and Garam Investment Auctioneers was inviting the court to re-determine issues that had already been previously resolved by different courts.
She upheld the bank’s position that the fresh case could not be heard as it amounted to re-opening the battle found in the United Kingdom and Kenya.
“I find that the Bank’s position and objection is well- founded that this application is a blatant abuse of court process, meant to frustrate its lawful recovery efforts after years of default and litigation. There is no way that the plaintiff’s amended plaint dated 25th April 2025 survives, and the same is accordingly struck out,” ruled Justice Mong’are.
In this case, Tuju accused the lender, the auctioneer and the valuer of violating court orders. He told the court that the bank had already sought transfer of the titles of Entim Sidai Wellness Sanctuary, Tamarind Karen and Dari Business Park to Ultra Eureka Limited.
He claimed that the auction violated court orders barring EADB from selling the high-end property in a bid to recover a contested Sh 1.9 billion.
The former Jubilee Party Secretary General filed two separate cases against the registrar. In the first, he sued the Chief Land Registrar of Nairobi and the Ministry of Lands, Cabinet Secretary.
“It will manifest an unfair administrative action if the respondent proceeds and executes a transfer in favour of a third party while having been served with a valid court order,” his court papers filed before the commercial court in Nairobi read in part.
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According to Tuju, Justice Wayua Mong’are had issued orders barring Garam, Knight Frank Valuers and the regional bank disposing of the property dubbed Entim Sidai Wellness Sanctuary, Tamarind Karen and Dari Business Park.
He asserted that the orders were extended on October 20, 2024 and subsequently on February 6, 2025.
On the other hand, EABD and Garam asked the court to strike out the case. They argued that the court had no power to entertain the case. In the alternative, they asked the court to find that it was vexatious and an abuse of court process.
The case is a culmination of a series of titanic battles as Tuju sought to salvage his properties, while EADB asked the court to hand it a pound of flesh, close to Tuju’s business’s heart. The long-standing battle also sucked in Supreme Court Judges, with Tuju accusing them of failing to hear his case against the bank. He sought to have Chief Justice Martha Koome, her deputy Philomena Mwilu, and Justices Mohamed Ibrahim, Smokin Wanjala, Njoki Ndung’u, Isaac Lenaola, and William Ouko removed from office. However, they all moved to the High Court to challenge the same.
It all started in the United Kingdom, where he lost in two instances, in the trial and the appeal. The bank then asked the Kenyan court to adopt and recognise the United Kingdom judgment in favour of EADB for enforcement.