Magugu family to maintain control of Nairobi plot after court ruling

Citizen Reporter
By Citizen Reporter June 18, 2024 07:45 (EAT)
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Magugu family to maintain control of Nairobi plot after court ruling

Magugu's widow Margaret Magugu. Photo: Handout

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The family of former finance minister Arthur Magugu will continue to control a plot where the once popular Simmers Restaurant stood in Nairobi Central Business District.

 

Magugu’s widow Margaret Magugu, under Nilestar Holdings got a relief in a ruling on June 13, where Justice Ogutu Mboya reaffirmed her as having possession, occupation and use over the land where former Simmers Restaurant used to operate from.

 

“That there be and is hereby granted an order of status quo be maintained over and in respect of the suit property pending the hearing and determination of the suit. For coherence, the status quo shall relate to the current occupation, possession and use of the suit property,” Ogutu ruled.

 

“That in terms of possession, occupation and use. It is hereby confirmed that it is the first and second defendants who have been in possession and shall thus remain in such occupation and possession,” stated the ruling.

 

By consent of the advocates for the parties, Ogutu said the application dated June 5 2024 was compromised, granting an order that status quo be maintained pending the hearing and determination of the suit.

 

“That nevertheless, the orders of status quo herein shall not enable anyone who has hitherto not been in possession to enter upon and/or trespass onto the suit property or in any other way interfere with the current use of the suit property,” the judge ordered.

 

The judge ordered that the matter shall proceed for further hearing on June 24 and 26 2024.

 

On the other hand, former Kimilili MP Suleiman Murunga, a plaintiff in the case, filed a fresh suit before Justice Jackline Mogeni.

 

Mogeni blocked any transfer, subdivision or use of the parcel, pending the hearing of the petition and further directions.

 

Murunga moved to court arguing that he is the beneficial owner of the parcel on Kenyatta Avenue after Simmers Restaurant was forcibly evicted from the plot on March 2, 2018.

 

Murunga said the restaurant then had over 67 employees and enjoyed prominence as one of the major outlets of alcoholic products, with several awards.

 

Murunga had leased the land since 1997 from Nilestar Holdings as Green Valley Ltd, a company being fought over by the family of former Finance minister Arthur Magugu and businessman Madatah Hasham Ebraham.

 

He said Nilestar’s 99-year lease expired on December 31, 2009, and despite application for renewal, it was not granted by the Commissioner of Lands. In 2011, he applied and was allotted the property.

 

“Upon compliance with the said terms I contend that I ceased being a tenant in the suit premises and became a legal and/or beneficial owner,” he says in an affidavit.

 

Consequently, he stopped paying rent to Nilestar Holdings, whose directors were aware of the change of ownership. He in 2013 successfully got orders stopping the attachment of his property by the previous owners who were claiming rent of Sh1.62 million.

 

But shortly after the ruling was delivered, the National Land Commission (NLC) purported to withdraw an allotment letter issued to him.

 

The letter was subsequently used as a basis for seeking a review of the ruling and lift the injunction placed on the eviction of  Murunga from the premises.

And following the ruling, at least six people were injured in a clash between two groups seeking to control of the plot.

 

Police said they arrested at least 12 people in the Monday June 17 night chaos.

 

This was as two groups clashed over the control of the site.

 

One group said they are the bonafide owners of the plot while the other said they are the new owners.

 

This saw an auctioneer hired by one party bring goons to the site in efforts to take control of the plot.

 

The other group already in the plot fought back. Police were called and managed to arrest at least 12 people. Some people including journalists were injured.

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