Court of Appeal leaves NLC facing Sh608m Ndakaini Dam land compensation bill

The National Land Commission has suffered a fresh legal setback after the Court of Appeal refused to reopen a compensation dispute over land acquired for Ndakaini Dam, leaving it exposed to a bill of about Sh608 million arising from decades of unpaid dues.

A three-judge bench comprising Justices Patrick Kiage, Jamila Mohammed and Sankale ole Kantai dismissed the commission's challenge to an earlier decision denying it more time to appeal a High Court judgment that ordered compensation to landowners in Murang'a County.

The judges agreed that the commission had failed to provide sufficient grounds to justify the delay in challenging the February 29, 2024 judgment, which directed it and Nairobi City County to pay Sh113.6 million plus interest running from July 6, 1990 until full settlement. Accumulated interest has pushed the claim to about Sh608 million.

The dispute involves Humphrey Crispus Mwangi and 33 others, who sued on their own behalf and for another 106 landowners whose properties were compulsorily acquired for the dam, a major water source for Nairobi and its surroundings. The landowners say the government took their properties but never honoured compensation agreements reached in 1990 after 84 land acquisition appeals, and they sought the agreed compensation, interest and a 15 percent disturbance allowance.

The commission argued that the acquisition predated its establishment under the 2010 Constitution and that it had not received the money, while Nairobi City County denied responsibility. Justice Anne Omollo held both responsible, and Justice Stephen Radido later rejected the commission's explanation for a 19-month delay - citing relocated offices, a misplaced court file and leadership changes - before the Court of Appeal declined to interfere.