Former Cabinet Secretary Raphael Tuju faced a major blow after the High Court dismissed his attempt to stop the auction of his multi-billion-shilling property to settle a Sh2.2 billion bank loan.
In 2024, Tuju sought court injunctions to prevent Garam Investment Auctioneers from selling his prime assets in Karen and along Ngong Road in Nairobi. This move followed several previous rulings against him, including one from a London court.
Despite those setbacks, the former Rarieda lawmaker tried to reopen the case. He argued that he had found new evidence regarding the Sh2.2 billion debt dispute with the East African Development Bank.
However, the Supreme Court of Kenya had already dismissed Tuju’s appeal in 2023. Justices Philomena Mwilu, Mohammed Ibrahim, Smokin Wanjala, Njoki Ndungu, and William Ouko stated that Tuju failed to justify his request to introduce more evidence.
“As a matter of course, the petitioners have not explained the relevance of this further witness statement in relation to their appeal,” they said.
The evidence at the center of the dispute was a witness statement that David Washington Barnabas Ochieng recorded with the Directorate of Criminal Investigations on December 21, 2022. Tuju tried to introduce this statement to provide details about the early contract negotiations between him and the bank.
In another blow, Tuju’s business, Dari Limited, lost its bid to throw out an affidavit from the East African Development Bank. Carol Luwaga had sworn the affidavit in question.
Tuju and four other petitioners, including Dari Limited, challenged the bank’s response. They argued that Luwaga’s replying affidavit, which opposed his appeal, was invalid. Tuju claimed in court documents that Luwaga, a resident of Kampala, Uganda, could not have sworn to the document in Nairobi as stated.
“This is because it was allegedly sworn in Nairobi before a Commissioner for Oaths without any evidence that she was in Nairobi at the time,” Tuju argued in court documents.
Back in the High Court, Tuju argued that the fresh evidence would turn the litigation in his favor. However, Garam Investment Auctioneers, the East African Development Bank, and Knight Frank Valuers opposed the application. They urged the court to dismiss the request, labeling it a vexatious abuse of the legal process designed to stall the loan recovery.
In her ruling on March 9, 2026, Justice Josephine Mongare noted that the plaintiffs were essentially asking the court to revisit an injunction it had already denied. She pointed out that they were trying to reopen a debt already determined internationally and recognized at home, while challenging securities that multiple court orders had already addressed.
“I find that the bank’s position and objection are well-founded: that this application is a blatant abuse of court process, meant to frustrate its lawful recovery efforts after years of default and litigation,” Mongare said.
“There is no way that the plaintiffs’ amended plaint dated April 25, 2025, survives, and the same is accordingly struck out.”
Following the dismissal of this application, Tuju has failed to prevent the auction of his Entim Sidai Wellness Sanctuary and properties linked to Dari Limited. Justice Mongare’s ruling likely ends the matter, especially since the Supreme Court had already rejected similar attempts.
The Supreme Court judges previously dismissed Tuju’s arguments because he failed to provide evidence.
“It is trite law that whoever alleges must prove. In this case, the petitioners who have alleged have not validated their averments with any proof to justify their allegations. Therefore, these are bare allegations that are unsubstantiated, and we say no more,” they said.
The dispute stems from a Sh1.5 billion loan that the East African Development Bank granted to Tuju, which the bank claims he defaulted on. His children served as guarantors for the loan, which was meant to fund the construction of 12 two-story bungalows in Karen, with each home valued at roughly Sh100 million.
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