The Ethics and Anti-Corruption Commission (EACC) has announced that it will start the process of recovering Ksh1.5 billion that was paid out in the controversial Ruaraka land compensation case.
This comes after the Court of Appeal upheld a ruling that the money was unlawfully paid to two companies for land that actually belongs to the public. The commission has also confirmed that it will revive criminal proceedings against public officials and other individuals who were involved in this irregular deal.
The dispute involves 13.5 acres of land where Ruaraka High School and Drive Inn Primary School currently stand. The Court of Appeal, in a judgment delivered on July 3, 2026, agreed with the Environment and Land Court that this land is public property.
The judges found that the land had been surrendered to the government for free as part of an approved subdivision scheme and therefore could not be owned by private companies. Because the government cannot compulsorily acquire land it already owns, the court declared the Ksh1.5 billion payment illegal, null, and void.
The companies that received the money, Afrison Export Import Limited and Huelands Limited, had filed an appeal to overturn the earlier ruling. They wanted the court to declare the land as private property and compel the National Land Commission (NLC) to pay them an additional Ksh1.769 billion in compensation.
However, the Court of Appeal dismissed their appeal entirely, saying it had no merit. The judges noted that the payment was "money paid under a mistake both in law and fact".
Following this judgment, EACC Chief Executive Officer Abdi Mohamud stated that the commission will now pursue the recovery of the Ksh1.5 billion that was unlawfully paid. He said the money was part of a fraudulent compensation scheme.
The commission had already completed its investigations into the role of public officials and other individuals involved in processing the payment.
The inquiry file was first submitted to the Director of Public Prosecutions (DPP) in February 2025, but the DPP deferred action pending the outcome of the appeal. With the appeal now concluded, the EACC will resubmit the file, and those found culpable will be prosecuted in accordance with the law.
The EACC also called on the Ministry of Education and the National Land Commission to process and issue title documents for the land occupied by the two schools to secure it as public property.
The commission revealed that it had already secured the original title deed and placed a caveat over the land to protect public interest after the compensation was paid. Mohamud reiterated the commission's commitment to safeguarding public resources and ensuring accountability.
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