A business fallout that put Sh5b property empire at risk

When Nedim Mohamed Ibrahim and Abdulkarim Saleh Muhsin ventured into real estate business, their dream was not just to make a living, but build a quiet future for themselves, their families and generations to come.

To realise their dream, Mohamed and Saleh invested in real estate and accumulated wealth, including properties estimated to be worth more than Sh5 billion.

However, their once-upon-a-time business bromance hit the rocks and has since turned into a full blown property war; from the courtroom to Business Registration Service (BRS) and now, to the Directorate of Criminal Investigations (DCI).

The power conflict now pits the judiciary, the police and the Attorney General’s office as well as the Ministry of Lands. This is despite Justice Florence Wangari directing the Deputy Registrar of the Court to execute all necessary documents to ensure that the Court’s judgment dated November 24, 2023 is implemented.

Although Mohamed is armed with the orders, which handed him shares in ZumZum, the business registrar, in his communication to his lawyer Paul Mwangi, is adamant about transferring the shares, citing a directive from the DCI not to.

“This litigation must come to an end... The fact that the respondents herein ( Saleh, ZumZum, Akaba Investments Limited and Acient Inland Limited), the enforcement of the said judgment, in giving effect to the judgment and bringing the matter to a close before this court, the Deputy Registrar is hereby mandated to give effect to the resolutions in the mediation agreement by being authorised to execute all the necessary documents on behalf of the parties herein,” ruled Justice Wangari on March 5 this year.

By the time Mohamed, an Ethiopian national, and Muhsin’s business relationship went south, seven cases had already been filed.

However, they agreed to try to settle the controversies through mediation.  The two, in 2017, ended up before Sugow Nurow Hussein and Aden Gulied Hassan.

On May 7, 2017, it was resolved that Saleh would get 66.7 per cent while Mohamed would get 33.3 per cent of 532 properties subdivided from Kiembeni Property, Mombasa.’

“All improvements shall remain with ZumZum Investment Limited; the 532 remaining Plots shall be shared as above. However, whatever plots unilaterally sold by Mohamed after the commencement of the disputes shall be reimbursed by Saleh after verification by the mediators,” the agreement reads in part. At the same time, the two were to use the ratio for the second property at Kiembeni, measuring 70 acres. They were to equally offset a Sh17 million loan taken from Habib Bank in the name of Akaba.

Saleh was also directed to solely shoulder another loan he had taken from the same bank.

For the 2 acres in Mlolongo, Saleh was to get 15.48 acres while Mohamed was allocated 11. 243 acres as well as two other properties in Mavoko and Athi River, which were in the name of ZumZum. For the five properties in Embakasi, Saleh was allocated three properties, while his former business partner was to get two.

Other properties apportioned to each one of them included those in Mtongwe, where each received four properties; in Mariakani where Mohamed got two as Saleh got three as well as two other properties in Shanzu that were allocated to Saleh.

On a house in Nyali, the two gave conflicting accounts. Saleh claimed Mohamed had sold it to him, while he denied it. The mediators directed that it ought to be evaluated by an independent valuer. In the meantime, the African Safari Club’s two properties ought to be sold, and after repayment of how much each had invested, the remainder would be shared equally.

It was also agreed that each would hand over original titles and deed plans in their possession to the mediators, who would have the deal executed in three months. Saleh was to resign as director and shareholder of ZumZum and surrender his shares. Mohamed on the flip side, was barred from pursuing any claim from the firm, while his former partner was to withdraw a complaint he had filed at the DCI in Nairobi.

The agreement was to be filed and adopted as a court order in the six cases that were still in court.

However, the mediation agreement sparked yet another battle in 2021 after Mohamed sued Mohamed, ZumZum, Akaba and Acient seeking enforcement and damages. He urged the court to direct that the agreement be implemented.

On the other hand, Saleh urged the court to strike out the case, insisting  that the case was an abuse of court process.

He further argued that the agreement contained an express or implied requirement for the affected companies to pass resolutions ratifying its terms. He added that the companies were not party to the agreement and therefore were not bound by its provisions.

At the same time, he claimed Mohamed had not handed over the titles he held and asserted that he was barred by the agreement from filing any other case.

However, Mohammed told the court that his medical situation had hindered him from doing follow-ups to make sure the agreement had been implemented. He said he had not refused to co-operate as he had previously surrendered all the documents to the mediators, but they were returned to him.

In November 2024, Justice Wangari directed that they should proceed with the 2017 agreement and that their lawyers should agree on how to set the ball rolling.

Aggrieved with Justice Wangari's decision, Saleh appealed before  Justices Gatembu Kairu, Agnes Murgor, and Pauline Nyamweya who however, declined to suspend the orders.

On March 5, 2026, Mohamed’s lawyer, Paul Mwangi, shifted responsibility for execution to the court’s Deputy Registrar, with the provision that either party could present its documents to the judicial officer.

This was followed by another round of exchanges between Mohamed’s lawyer and the BRS Deputy Registrar, who said the office had received information challenging the authenticity of the supporting documents. The registrar also said the DCI had communicated that no changes should be made.

“We also note the communication from the DCI dated September 4, 2026, requesting that no changes be effected to the company's records pending the conclusion of ongoing investigations,” wrote BRS Deputy Registrar Hiram Gachugi on September 7, 2026, adding that parties ought to provide executed and verifiable documents to ensure full compliance with the court orders.

Mwangi replied, saying this was defiance of court orders. He informed Gachugi that he would proceed to file a contempt of court application.

In the meantime, Saleh filed another case suing Mohamed, BRS and the Registrar of Companies over fraud allegations.

In his latest suit, Saleh claimed there was no resolution or meeting held that authorised the transfer of 100,047 shares in ZumZum to Mohammed.

He sought the suspension of the process, arguing there was an ongoing investigation.

But Mohammed informed the court that there was an existing court order requiring the transfer.

BRS this time round claimed that there was a court order dated September 9, 2026 which prohibited the transfer.

In the meantime, Judge Rutto issued interim orders and directed that they appear on October 7, 2026.