The National Land Commission has accused Kenya Railways of moving to court without getting facts on SGR compensation right.

On Monday,Kenya Railways moved to court accusing NLC of withholding Sh17 billion payout for those affected by the construction of Nairobi-Naivasha SGR.

The documents filed in court by  Kenya Railways indicate NLC received Sh17.7 billion between October last year and now plans to pay 1,090 landowners whose parcels were acquired compulsorily.

“The commission has however refused, neglected or failed to compensate the project-affected persons (PAPs) of the Nairobi-Naivasha SGR Phase 2(A) despite receipt of funds from them and repeated demands,” the documents indicate.

Kenya Railways claims construction work for Phase 2A of the SGR project has suffered delays arising from frustrated PAPs.

NLC through the letter Ref NLC/GEN.CORRE./VOL.III/(64) addressed to acting managing director Philip Mainga says "the commission is of the opinion that the case is in bad faith."

The Commission now wants Kenya Railways to withdraw the case forthwith saying the case was putting the Commission in bad light.

"This is too kindly advise that as of today's date, the commission has disbursed a sum of Sh 12 billion approximately to the persons affected by the project and is processing more payments details,"NLC in a letter signed by vice chair person Abigael Mukolwe says.

Read: Blow for SGR landowners as state halts cash payout

The letter has been copied to State House chief of staff Joseph Kinyua, Transport CS James Macharia, Lands PS Nicholas Muraguri among others.

The Commission in the letter told Kenya Railways that they are available to share details with them so as to avoid unnecessary legal battle.

In court documents, the Kenya Railways said it has written to the NLC directly and made demands through their advocates asking for the release of the compensation funds due and payable to the PAPs.


The NLC continues to withhold a substantial part of the sum, it says.

“As a consequence of the NLC delays in releasing compensation to the PAPs, we risk being sued by the contractors undertaking the works on the project in a claim for damages for delays since the PAPs have constantly been frustrating the ongoing construction work,” part of the court documents read.

Kenya Railways, through lawyer Peter Munge, says the delays may affect the completion deadline of May 31, this year. Phase 2A of the SGR commenced on October 19, 2016.

Read: Naivasha SGR work blocked as landowners demand full payout

On Monday, DPP Noordin Haji announced that the compensation for the second phase of SGR will be stopped to pave way for investigations.

Haji made the revelations even as land owners engaged authorities in unending blame game.

"SGR land compensation…I think we have agreed that we are going to start investigations immediately and we are writing to the various authorities to seize all payments until investigations are complete,"he said.

Haji was speaking during the handing over of Sh2 billion parcel of land to University of Nairobi that was reclaimed from private company.

This come as shock to land owners who have been staging protests over failure to be compensated.

Land owners may not get compensation for their parcels even as wrangles between National Land Commission and Kenya Railways intensifies, spilling to the courts.

The term of the current NLC commissioners is also set to expire on February 19, further complicating matters.

They took the oath of office in February 2013.

NLC has written to the National Assembly requesting for an extension, a request unlikely to be granted.

More: How Swazuri authorised suspicious payout for SGR land

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