Court orders forfeiture of Sh426.8mn in assets linked to ex-Kilifi land registrar

NAIROBI, Kenya, Sep 25 — The High Court has ordered the forfeiture of state assets worth Sh426.85 million held by former Kilifi Principal Land Registrar Felix Mecha Nyakundi, his wife Stellah Nyaboke Otwori, and companies associated with the family after they failed to satisfactorily explain the source of the wealth, the Ethics and Anti-Corruption Commission (EACC) said Friday.

The EACC said the Anti-Corruption and Economic Crimes Court, in a judgment delivered on September 18, 2026, found that Nyakundi and his associates failed to satisfactorily explain the disparity between the assets they acquired and their known legitimate sources of income.

Justice Benjamin Musyoki ordered the forfeiture of assets including cash held in bank accounts and M-Pesa, properties in Nairobi, Mombasa and Kilifi, motor vehicles and cash recovered during a search operation.

The assets ordered forfeited comprise Sh233,581,982.16 in bank and M-Pesa funds, prime properties valued at Sh177.11 million, motor vehicles valued at Sh11,899,999.88, and Sh4.26 million in cash recovered during a search operation.

Among the properties are Bantu Hotel along Kangundo Road in Nairobi, valued at Sh107.7 million; the Saro Wiwa apartment block in Utawala, Nairobi, valued at Sh35 million; a Mombasa penthouse valued at Sh19 million; and 11 parcels of land in Kilifi and Thika valued at Sh15.41 million.

The motor vehicles listed by EACC are a Land Cruiser Prado, a Mercedes-Benz, and a Toyota Hilux.

“The Commission’s investigations established that between January 2013 and March 2024, Mr. Nyakundi and his associates acquired assets cumulatively valued at KES 771,893,224,” EACC said.

The assets acquired during the period included Sh467,764,521.60 transacted through various bank accounts and M-Pesa numbers, landed properties valued at Sh287.51 million, motor vehicles valued at Sh20.06 million, and Sh4.26 million in cash recovered from the defendants’ residences.

According to EACC, Nyakundi’s gross monthly salary ranged from Sh69,660 in 2013 to Sh115,630 in 2024.

“During the investigations, Mr. Nyakundi and associates could only satisfactorily explain the acquisition of assets valued at KES 58,170,000,” EACC said.

The Commission subsequently instituted proceedings under Section 55 of the Anti-Corruption and Economic Crimes Act (ACECA) seeking recovery of assets it said were disproportionate to Nyakundi’s known legitimate sources of income and could not be satisfactorily explained.

The judgment means assets covered by the forfeiture orders will be recovered for the Government of Kenya.

EACC welcomed the decision, describing it as a significant step in efforts to recover public resources and prevent individuals involved in corruption and unethical conduct from benefiting from proceeds obtained through such conduct.

“The Commission welcomes this landmark decision as a significant step towards recovering public resources and ensuring that individuals involved in corruption and unethical conduct do not benefit from proceeds obtained through such conduct,” EACC said.