By Judy Ogutu
The Kenya Anti-corruption Commission (KACC), former Kenya Seed Company MD Nathaniel Tum, and seven others are engaged in a legal tussle over a hospital.
The anti-graft agency is in court seeking orders to have a Public Trustee appointed to take custody of Mt Elgon Hospital properties pending hearing and determination of the case.
It has sued Tum, Philip Motanya, George Barmato Turo, Mary Wambui Kinyanjui (legal representative of the estate of Peter Kinyanjui now deceased), Enock Imbuye, Noel Kasandi Jumba (legal representative of the estate of Imbugua Kiziiri Aradi now deceased), Joseph Kiangoi Ombasa and Mt Elgon Hospital Ltd.
Further, they want the court to issue orders restraining the respondents from effecting any transfer, disposal or any other dealing with the properties — five land parcels — or any other movable Trust properties.
Corrupt conduct
In addition, KACC wants Tum and company restrained from acting as trustees of the Trust pending conclusion of the suit.
Through its advocate Ben Murei, the commission argues Tum and six others have dishonestly and in breach of their duties as trustees or by corrupt conduct incorporated Mt Elgon Hospital Ltd, in which they are shareholders and directors, taken over the name of the Trust.
"The respondents have with knowledge assisted in a fraudulent transaction or corrupt conduct by Trustees involving Trust property. They knew that they could not sell and transfer properties held in Trust or use it as security for loans," KACC claims. By disposing of and otherwise adversely dealing with the Trust property, the defendants have subverted and made ineffective the public charitable purpose of Mt Elgon Hospital, it further states.
The commission claims Tum and six other respondents have fraudulently and in breach of their duty as trustees transferred the assets of Mt Elgon Hospital Trust Registered Trustees, which is a public charitable trust, to Mt Elgon Hospital Ltd.
In response, the respondents say KACC has no right or interest over the Trust or its properties. They further say the commission has no mandate over its properties and that the application is misconceived.
