By PETER OPIYO
Parliament’s Public Investment Committee (PIC) is investigating circumstances under which Kenya National Assurance Company (Knac) sold a piece of land in Nyali.
PIC chairman Mithika Linturi said the committee is probing the transaction to establish how Knac sold the prime property to Town and Country Company Ltd.
Contrary to media reports, the committee is not investigating Ms Zahra Moi, who bought the property in 2010.
Zahra is said to have bought the plot from Town and Country Ltd, which had bought the property in 1996 from Knac.
“We understand Town and Country bought the land, but it is said there was no payments made on the block of land in Nyali. So, this is what we are investigating and not the current owner who is Zahra,” said Linturi.
At the same time, two property valuers, who undertook a valuation on the price of Corner House, formerly owned by Knac, leading to its disposal at a lower price have also been summoned by the committee.
Disposed of at Sh620m
The committee summoned Government chief valuer and Jim Gatheru, Irungu Mugo and company valuers to appear before it to explain how the property valued at Sh770 million in 1997 was valued at Sh550 million five years later and disposed at Sh620 million.
Linturi said the disposal of the Knac assets in 2000 “was suspect and it was worked out in favour of some individuals.”
The summons follow revelations by Knac (2001) Company Ltd CEO Alexander Kiminchia that sale of several assets was done at a loss owing to contradictory valuation reports.
Also appearing before the committee was Special Receiver Manager in charge of the Fund during 1997 and 2000 receivership James Olubayi.
