Mt Kenya University founder wins case against businessman for relocation of students

The founder and Chairman of Mount Kenya University Professor Simon Gicharu addresses the Media at Shanzu Pride Inn Beach Resort conference hall in Mombasa County on Saturday,025th August,2018.This was during the closing ceremony of an Induction workshop for newly appointed Kenya Medical Supplies Agency (KEMSA) board members. [Maarufu Mohamed,Standard]

A businessman and his partner have lost a multi-million shillings claim against the founder of Mt Kenya University for deserting his premises in Kericho.

Bernard Gikundi Mwarania and Margaret Karirwa Mwongera, through their company Step Up Holdings Ltd, wanted the university’s founder Simon Gicharu (right) compelled to compensate them for loss of business opportunity, but Justice Joel Ngugi dismissed their case for lacking merit.

Justice Ngugi ruled that Mr Mwarania and Ms Mwongera were abusing the court process by filing several suits against the university and its founder when the dispute had already been decided.

“It is really difficult to see any liability when one looks at the allegations made against the university. In the end, I find that the suit is an abuse of the court process, lacks merit and a misjoinder of parties, which should have not been sued in the first place,” ruled Ngugi.

The two had claimed in their application that they entered into an agreement with Mt Kenya University to run a campus in Nakuru, which they established and the university agreed to pay them collaboration fees.

In March 2011, they reached another verbal agreement to open another branch in Kericho town, where they would also be paid collaboration fees.

But in April 2011, the two argued that Prof Gicharu ordered that the Kericho Town campus be closed and that the 3,807 students and 295 members of staff be relocated to the Nakuru campus.

This, they said, caused them loss of millions of shillings for establishing the premises for the campus in Kericho and leaving the place deserted with no students. It is why Mwarania and Mwongera wanted Gicharu and Mt Kenya University to compensate them for loss of business opportunity.

Justice Ngugi agreed with Gicharu’s objection to the suit on grounds the dispute was pending before other courts and that it would be improper to hear the application.

Gicharu, in response, also stated that there was no collaboration agreement between the university and the two, and that the suit was only meant to embarrass him and the university’s management.