Kenya, July 6, 2206 - The Ethics and Anti-Corruption Commission (EACC) has announced plans to recover Sh1.5 billion unlawfully paid out in the controversial Ruaraka land compensation case and pursue criminal prosecutions against those found responsible following a landmark Court of Appeal judgment.
In a statement issued on Monday and signed by the CEO Abdi Mohamud ,the anti-graft agency welcomed the Court of Appeal's July 3, 2026 decision, which upheld an earlier ruling by the Environment and Land Court declaring the Sh1.5 billion compensation for land occupied by Ruaraka High School and Drive Inn Primary School unlawful, null and void.
The appellate court affirmed that the 13.5-acre parcel on which the two public schools stand had already been surrendered to the Government free of charge as a mandatory condition for the subdivision of LR No. 7879/4. Consequently, the land became public property, making any subsequent compulsory acquisition and compensation legally untenable.
According to the EACC, investigations established that the land formed part of public utilities reserved under the approved subdivision scheme and therefore could not lawfully be acquired or compensated.
"The Court held that there was no legal basis for the National Land Commission to undertake compulsory acquisition of land already owned by the Government, declaring the purported acquisition and the subsequent payment of Sh1.5 billion illegal, null and void," the Commission said.
The court further ruled that the payment constituted a loss of public funds and dismissed the appeal in its entirety.
Following the judgment, the EACC said it will immediately initiate civil recovery proceedings to reclaim the Sh1.5 billion paid to Afrison Export Import Limited and Huelands Limited through Whispering Palms Estate Limited under what it described as a fraudulent compensation scheme.
The Commission also revealed that investigations into the criminal culpability of public officials and other individuals involved in processing and facilitating the irregular compensation have been completed.
The inquiry file had initially been forwarded to the Office of the Director of Public Prosecutions (ODPP) on February 11, 2025. However, the DPP advised the Commission to await the outcome of the Court of Appeal proceedings before commencing criminal action due to pending litigation.
With the appeal now concluded, the EACC said it has resumed action and will resubmit the investigation file to the DPP for consideration.
"Those found culpable will be prosecuted in accordance with the law," the Commission stated.
The anti-corruption agency said its investigations were conducted in collaboration with several government institutions, including the Ministry of Lands, the Ministry of Education and the Nairobi City County Government, whose documentary evidence and technical expertise were instrumental in establishing the true ownership status of the land.
During the investigations, the Commission also secured the original title deed and registered a caveat over the property to safeguard public interest after the controversial compensation was paid.
The EACC has urged the Ministry of Education and the National Land Commission to expedite the processing and issuance of title documents for the land occupied by Ruaraka High School and Drive Inn Primary School to secure the schools' continued occupation and use of the property.
The Commission reaffirmed its commitment to protecting public resources and ensuring accountability through the recovery of public assets lost through corruption and fraud, saying the Court of Appeal's judgment marks a significant milestone in efforts to safeguard public land and recover misappropriated public funds.
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