Land Scandal: Petitioner Claims PS Korir, MP Ole Ntutu Received Sh550M in Dupoto Compensation Scheme

A major legal battle is unfolding over the controversial Sh2.75 billion compensation paid to members of the Dupoto/Dafur Settlement Welfare Scheme for their land in Lang’ata, Nairobi.

According to court documents filed by a lobby group, high-ranking government officials allegedly diverted hundreds of millions from the compensation funds.

Francis Awino, President of the Concerned Citizens lobby group “Bunge la Wananchi,” has filed a petition claiming that Lands Principal Secretary Nixon Korir and Narok South MP Silvester Kitilai ole Ntutu received Sh300 million and Sh250 million respectively from the compensation package.

Secret Legal Switch Alleged

Court papers allege that PS Korir orchestrated the secret replacement of Thomas Letangule, the members’ original lawyer, with two new firms: Johnson and Partners LLP and Sankale & Co Advocates.

According to Awino, this substitution happened “unprocedurally, unlawfully, and secretly with the help of senior state officials” on October 31, 2023.

The petition claims scheme members were later informed that 38 of their 93 acres would need to be surrendered or they risked not receiving their title.

By that point, Kenya Railways had already processed a land transfer of 55 acres through the new law firms, and the Sh2.75 billion compensation had been disbursed.

Follow the Money

The court documents provide a detailed breakdown of the alleged fund distribution:

– On December 16, 2023, Sankale & Co. Advocates received Sh1.246 billion
– Johnson and Partners LLP received Sh1.5 billion
– Within two days, the money was allegedly distributed to at least 11 beneficiaries
– Recipients included Nick Ndenda & Associates (Sh112.25 million), Moniket & Co. Advocates (Sh155 million), and MP Ole Ntutu (Sh250 million)
– On December 19, Sankale & Co. Advocates allegedly withdrew Sh181 million in cash

Despite the multi-billion payout, scheme members reportedly received only Sh250 million combined, with individual payments ranging from just Sh50,000 to Sh2 million.

Letangule Left Empty-Handed

The petition further alleges that Thomas Letangule, who had represented the scheme for six years, was entitled to Sh80 million in legal fees but received only Sh2 million, with scheme trustees allegedly diverting the remainder.

Intimidation Tactics

The court documents contain serious allegations against MP Ole Ntutu, claiming he received Sh250 million despite having no ownership stake in the scheme.

“He was heard, on several occasions, stating that he had direct instructions from the President of the Republic of Kenya to settle the matter, a claim which turned out to be a ploy to intimidate the plaintiffs,” Awino states in his affidavit.

Legal Action and Investigations Sought

Awino is asking the High Court to recover the allegedly embezzled funds from PS Korir and MP Ole Ntutu.

The petition also calls for investigations by the Ethics and Anti-Corruption Commission, the Director of Public Prosecutions, and the Directorate of Criminal Investigations.

This case represents the second legal challenge filed against the PS and MP over alleged embezzlement of the scheme funds, following a similar suit by prominent attorney PLO Lumumba.

The case is scheduled for mention before Justice Lawrence Mugambi next month. No responses have been filed in court so far.

With Kenya Railways having already taken over 55 acres of the land, Awino is urging immediate court action to prevent the remaining 38 acres from falling into “unknown hands.”​​​​​​​​​​​​​​​​