I paid the Sh50m, Tuju says as Karen mansion auction looms

Former Cabinet Secretary Raphael Tuju. [File]

Former Cabinet Secretary Raphael Tuju has rejected plans to auction his 20-acre property in Karen, saying the matter remains before several courts and tribunals.

Tuju, chairman of Dari Limited, made the claim in a notice published in the Standard on Tuesday, August hours before Entim Sidai Wellness Sanctuary was set to go under the hammer following an earlier notice by Garam Auctioneers.

"The matter of that sale is currently the subject of litigation at the Auctioneer's Tribunal and the High Court," said Tuju.

He named several pending cases, including Supreme Court case SCPT/E012/2023, Dari Limited versus East African Development Bank (EADB), which he said remains before the country's highest court.

The row goes back to a Sh1.2 billion loan EADB gave Dari Limited in April 2015 to fund a commercial property project in Karen, secured against Entim Sidai, Tamarind Karen and Dari Business Park.

Tuju's firms fell behind on payments within a year, and after a London court ruled against them in 2019, the debt, pushed up by interest and penalties, has since grown to about Sh4.5 billion.

EADB sold Dari Business Park at auction in October 2024 for Sh450 million to Ultra Eureka Limited, a firm linked to businessman Jackson Kiplimo Chebett.

Dari Limited got letters from the Registrar of the Supreme Court dated Thursday, August 20, and Friday, August 21, showing the case was still before the court and no ruling had yet been made, said Tuju.

He also named High Court Commercial Division case E636 of 2024 and criminal case E042 of 2025 at the Milimani Law Courts as part of the many cases tied to the properties.

At the centre of the row is whether Tuju met a condition the High Court set to protect Entim Sidai from sale.

In a ruling delivered in May, Justice Moses Ado refused to reverse the completed sale and transfer of Dari Business Park, saying the court could not undo a deal involving property already sold and handed to a third party nearly two years earlier.

The judge did grant Entim Sidai temporary protection from the bank's power to sell it, on condition that Dari Limited paid Sh50 million as security within 30 days.

"The plaintiff shall, within 30 days, deposit security in the sum of Sh50 million in an interest-earning joint account in the names of counsel for the parties, failing which the stay order shall automatically lapse," ruled Justice Ado.

Tuju denied claims that the company missed that deadline.

"The deposit was made on 5th June 2026. A copy of bank statements is attached, and the bank or our lawyers may be contacted directly, as they are signatories to the account," noted Tuju.

He urged potential buyers to be careful, saying the many pending cases could affect any sale.

Tuju also pointed to the firm's Ngong Road property in Karen, saying an earlier 2024 auction is still before the Auctioneers Tribunal and the High Court.

He mentioned a raid on the premises on Friday, March 13, saying the property has stayed closed amid the ongoing legal fight.