Integrity centre./FILEThe Ethics and Anti-Corruption Commission (EACC) has issued formal demand notices seeking recovery of Sh1.5 billion in principal, plus interest, amounting to approximately Sh2.5 billion, over the Ruaraka land compensation scheme.
Former Education Cabinet Secretary Fred Matiang’i and Education Principal Secretary Dr Richard Belio Kipsang (currently PS, State Department for Immigration and Citizen Services) are among 25 individuals and corporate entities named in the recovery process.
The demand letters, signed by David Kaboro, Deputy Director of Asset Recovery and Civil Litigation, on behalf of the EACC chief executive officer, give the recipients seven days from August 10, 2026, to refund the money jointly and severally, together with interest at an annual rate of 12 per cent calculated from the date the funds were disbursed.
The EACC said failure to comply with the demand would result in the filing of civil suits for asset recovery at the recipients’ cost.
The commission also said criminal investigations into the transaction are at an advanced stage, with a view to prosecuting individuals found culpable.
The recovery process follows a Court of Appeal judgement delivered on July 3, 2026. Appellate Justices W. Karanja, F. Tuiyott and W. Korir upheld an earlier ruling by the Environment and Land Court that declared the compulsory acquisition process and subsequent payment of Sh1.5 billion unlawful, null and void.
The court found that the 13.5-acre parcel, LR No. 7879/4, which houses Ruaraka High School and Drive-In Primary School, had been surrendered to the government free of charge in 1983 as a mandatory condition for a subdivision scheme.
The judges consequently ruled that the National Land Commission (NLC) had no legal basis to undertake compulsory acquisition of land that was already public property.
In a notice addressed to Dr Matiang’i, the EACC alleges that the former Education CS initiated the compulsory acquisition process despite being allegedly aware that the land was public property and housed two public schools.
The commission alleges the actions amounted to “abuse of office, breach of fiduciary duty, and public trust” and resulted in the loss of public funds.
Dr Kipsang, who served as PS in the State Department for Early Learning and Basic Education, was served with a similar demand notice.
The EACC alleges that Dr Kipsang initiated the compulsory acquisition process despite allegedly knowing that the land was public property. It is seeking to hold him jointly and severally liable for the financial loss.
Former NLC chairman Prof Muhammad Abdalla Swazuri has also been served with a demand notice over his alleged role in the transaction.
According to the EACC, Swazuri set a compensation figure of Sh3,269,040,600 and instructed the Ministry of Education to remit the funds to the NLC.
Of this amount, Sh1.5 billion was eventually allegedly paid to a private company.
The commission alleges that Swazuri circumvented the acquisition procedures provided under Part VIII of the Land Act.
Other former NLC officials served with demand notices include Dr Tom Konyimbih, former chair of the Land Acquisition and Compensation Committee, and Joash Oindo, a former committee member. The two are accused by the EACC of approving and recommending the Sh3.26 billion valuation.
