Tuju’s Karen property auction called off over lack of qualified bidders

The scheduled auction of former Cabinet Secretary Raphael Tuju’s 20-acre Entim Sidai property in Karen failed to take place on Tuesday after the exercise attracted no qualified bidders.

The auction had been scheduled for 11am by Garam Auctioneers, which had advertised the sale of the expansive Karen property following the lapse of court orders that had previously shielded it from disposal.

Tuju, who was present at the property to witness the exercise, questioned why the auction had not commenced at the appointed time.

“You announced the auction to take place at 11am. We came to witness, we have not seen the auction taking place. What does that mean?” Tuju asked a Garam Auctioneers official.

The official explained that the auction had not proceeded because none of those who had attended had met the requirements to participate as bidders.

“The auction has not taken place because none of the people who attended qualified to be bidders. You’re supposed to have a deposit to show your seriousness,” the official said.

Tuju then sought clarification on whether the failure to secure a bidder meant the auction had formally ended or whether Garam could reopen the exercise later in the day if a prospective buyer presented themselves.

“Does it mean that the auction today is officially closed or you may revive it again if somebody comes in at say 1pm or whatever time?” he asked.

The auctioneer responded that sufficient time had been given for prospective bidders to participate and that the exercise would therefore be closed.

“We have waited for bidders long enough and now we’re closing the auction,” the official said.

The development leaves the immediate fate of the property uncertain as the long-running dispute between Tuju and the East African Development Bank (EADB) continues.

Garam Auctioneers had advertised the sale of Entim Sidai Wellness Sanctuary after Tuju allegedly failed to comply with conditions imposed by the High Court in May requiring him to deposit Ksh.50 million as security in an ongoing dispute with EADB.

In a public auction notice published earlier this month, Garam scheduled the sale for August 25, 2026.

The property, identified as LR No. 11320/3, is approximately 8.164 hectares, equivalent to 20.2 acres, and includes a colonial-style residence with nine bedrooms, a two-bedroom bungalow, staff quarters, a lawn tennis court and other structures.

The property also includes land earmarked for a proposed residential development comprising 12 standalone villas, according to the auction notice.

The auction was set in motion after High Court orders issued on May 21 by Justice Moses Ado.

The judge had granted Tuju temporary protection from the sale of Entim Sidai pending the determination of his dispute, but ordered him to deposit Ksh.50 million in a joint interest-earning account operated by lawyers for the parties within 30 days.

He was also required to file and serve the record of his appeal within 60 days.

The court warned that failure to comply with either condition would automatically lift the interim orders preventing the disposal of the property.

The Entim Sidai saga is part of a much larger and years-long dispute between Tuju, his companies and EADB over a loan facility advanced in 2015.

EADB says it advanced Tuju, through Dari Limited, a facility of about USD 9.2 million, which was subsequently defaulted on.

The bank has maintained that the outstanding amount, including interest and penalties, grew to approximately Ksh.1.9 billion and that courts in both the United Kingdom and Kenya have upheld its right to recover the debt.

The dispute has involved several properties in Karen, including Entim Sidai Wellness Sanctuary, Tamarind Karen and Dari Business Park.

In March 2026, the High Court struck out Tuju’s amended plaint and lifted interim orders that had previously restricted EADB and its agents from dealing with the contested properties.

The Court of Appeal had also previously upheld the bank's position, with the court stating that Tuju was “merely hanging onto technicalities” to avoid obligations arising from the guarantee.

One of the disputed properties, Dari Business Park, has already been sold. In May, the High Court ruled that it could not grant stay orders over the property because the sale had already been completed and ownership transferred.

Justice Moses Otieno held that once the hammer had fallen and the sale completed, Tuju's equity of redemption over that property had been extinguished, leaving damages as the available remedy for an aggrieved chargor.