Confusion deepens on fate of Dominion farm

Dominion Farms. The jury is still out on who owns it after the exit of an American investor. [Denish Ochieng, Standard)

The mystery surrounding the ownership of Dominion Farms deepened yesterday after it emerged that the former investor is still the legal owner.

Kenya Commercial Bank (KCB) had sent a receiver manager to take over the farm four months ago, while some local leaders claim that the county government has leased the property to a new company.

But speaking during a press conference at his Segere home in Alego Usonga on Monday, Governor Cornel Rasanga said the investor, Calvin Burgess, had paid the bank loan and was still the legal owner of the property.

“I am aware that KCB appointed a receiver manager to manage the Dominion properties as a result of debt, but I can confirm from the bank that this debt has been paid,” said Mr Rasanga.

“When the bank brought in the receiver manager, it informed the county as the legal landlord of the swamp. A few days ago the bank came back and said it was withdrawing the receiver manager,” he said.

Another company

The governor denied claims that another company had taken over the farms and maintained that the American investor still had 14 years before the expiry of his lease.

He accused leaders claiming that the county had leased the farms to a new company of having hidden interests in the matter.

Rasanga argued that any arrangement between Dominion Farms and any other investor would not be legal unless it was first discussed with the county government.

The governor could not however confirm if former workers at the farm had been paid their salary arrears.

According to the workers, the investor, who stopped his operations last December, owed them more than Sh350 million. The workers’ association secretary general, Steve Achieng, told The Standard that they were yet to receive any payments.

Mr Achieng said the laid-off workers were confused about who was in charge. “It is very confusing, but we do not really think the farm is still under Dominion because our contracts were terminated,” he said.

25-year lease

According to the Land department, Dominion still holds a 25-year lease it signed with the defunct Bondo and Siaya county councils. With devolution, the county government took over the lease agreement.

Lands Executive Dismas Wakla said the Dominion Farms investor would be in breach of contract if he left without notice.

“This would give the county government the right to take back the farm,” he said.