A tribunal has questioned how a developer acquired 306.7 acres of the Maganda Settlement Scheme in Mombasa, designated as an industrial area, housing site, and service scheme.
Salim Panga laid claim to the land and demanded Sh160.4 million as compensation after it was compulsorily acquired for the construction of the Standard Gauge Railway (SGR).
Panga said the National Land Commission (NLC) gave him a letter of award dated 12 April 2017 regarding the suit property, which stipulated compensation amounting to Sh160,411,100.
Justice Nabil Orina and George Supeyo determined that the Maganda Settlement Scheme could not be compulsorily acquired, having been originally acquired in 1976 as public land.
The Land Tribunal said that multiple claims or titles to the same property in land disputes in Kenya is a longstanding problem, resulting in a situation that raises more questions than it answers.
“For instance, we are unable to ascertain how the claimant (Panga) possesses title to a property which is alleged to be a settlement scheme. Although no evidence has been presented to clarify how the Maganda Settlement Scheme was established on the suit property claimed by the claimant, the survey report confirms that the property was acquired through compulsory acquisition in 1976,” stated Justice Nabil.
The judges noted that Gazette Notice No. 737 of 12 March 1976 indicates that 306.66 acres of the suit property were acquired by the government through the Commissioner of Lands for “industrial area, medium and low-cost housing and site and service scheme”.
The tribunal said Panga’s claim to the property is a matter within the jurisdiction of the Environment and Land Court.
“In conclusion, we find that the suit property could not be compulsorily acquired, having been originally acquired in 1976. The claimant’s case is hereby dismissed with no orders as to costs,” said Justice Orina.
In the suit, Panga cited the NLC, Kenya Railways Corporation (KRC), Mombasa County Government, and the State Department of Lands and Physical Planning, Directorate of Adjudication and Settlement.
In their defence, KRC denied ever authorising the NLC to proceed with the acquisition of the suit property and stated that, consequently, the award notice issued to Panga was either erroneously issued or issued without its authority.
KRC said the suit property is currently inhabited entirely by beneficiaries of the Maganda Settlement Scheme.
For its part, the NLC challenged Panga’s ownership claims over the suit property and the authenticity of the award notice, and denied issuing any compensation award to him.
The NLC said that the Ministry of Lands, Public Works, Housing and Urban Development confirmed the suit property is within the Maganda Settlement Scheme, which was initiated in 2006.
The Lands Commission said no awards were issued, and no compensation was paid out for the suit property, as the suit property had been declared an adjudication section by the ministry, and that the only compensation paid was for individual structures on the land, but not for the land itself.
Stay informed. Subscribe to our newsletter