Waiguru's Sh80m home risks being attached over debt
NATIONAL | By Paul Ogemba | June 15th 2021
A Nairobi court has allowed a company to attach a palatial home owned by Kirinyaga Governor Anne Waiguru to recover a Sh7 million debt.
Justice Alfred Mabeya allowed Frame Consultants Limited to attach Waiguru’s house in Nairobi valued at Sh80 million should Kihingo Village Limited, which owns Waridi Gardens where the house is located, fail to settle the debt which has been outstanding since 2018.
“I am satisfied that the debtor has the means and property to pay the debt. What the owed company needs to do is to either attach the said property or garnishee the proceeds from the property to settle the debt,” ruled Mabeya.
The decision means that should Kihingo Village Limited fail to pay Frame Consultants Limited, then the latter can proceed to attach Waiguru’s house or ask her to pay the balance of owed amount from the balance she was to pay for the house.
In the case, Frame Consultants Limited had sued Kihingo Village Limited and Wagema Limited for failing to pay the debt since 2018.
According to the company, they were owed the amount as a result of services offered to Kihingo Village Ltd in construction of the multi-billion shillings homes and that they were only paid Sh2.5 million despite a court order they be paid the full amount.
The company claimed they wanted to attach Kihingo’s movable property to recover the debt, but were unable to locate any of their assets.
However, Kihingo Village, in their responses filed by former Tetu MP Ndungu Gethenji and his brother Robert Gethenji, said they had already committed to pay the company Sh10 million upon completion of the sale agreement with Waiguru.
Ndungu and his brother told the court that they entered into a sale agreement with the Kirinyaga governor to purchase the house at Sh80 million in 2015, but that she paid a deposit of Sh40 million. The remaining balance is yet to be settled.
According to the brothers, it was not true that they refused to settle the debt, but had promised to do so once they received the Sh40 million balance from Waiguru.
They denied claims that the company could not trace any of their properties to settle the debt, stating that they had supplied the sale agreement with the governor to prove that they were capable of settling the debt once they are paid.
Although the company had asked the court to summon Ndungu and his brother to produce books of accounts and to be held personally liable for failing to settle the amount, Justice Mabeya declined to issue the orders ruling that it was not justified.
“It is clear that they have an asset leased to one Anne Mumbi Waiguru for a considerable amount of Sh80 million which amount has not been fully settled. The amount owed is capable of settling the debt,” ruled Mabeya.
Justice Mabeya added that since the Gethenji brothers have the property that can be attached to recover the debt, it was not necessary to summon them to court and be held personally liable for failing to settle the amount.
He, however, ruled that should Frame Consultants Limited fail to attach Waiguru’s house to recover the amount or fail to recover it when she pays the balance to Kihingo Village, then they were free to file another suit to enforce the decree.
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