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Son loses Sh2bn tycoon’s estate fight

Economy

Son loses Sh2bn tycoon’s estate fight


WILF

Justice Wilfrida Okwany. FILE PHOTO | NMG

The son of the late Kiambu tycoon Mbugua Mwangi has lost a court fight seeking to reverse the distribution of a Sh2.1 billion estate.

Justice Wilfrida Okwany rejected an application by Daniel Mwangi Mbugua who claimed that an out-of-court deal reached between his siblings was made without his knowledge since he had dropped the lawyer who acted on his behalf in the talks.

The late billionaire, through his firm Ndunde Investments, owned Paradise Lost along Kiambu Road that is within a coffee farm, Misarara Coffee Estate, Suguror Ranch in Laikipia, among other possessions indicted in court papers to have a combined value of at least Sh2.1 billion.

Mwangi died intestate leaving his wife who also passed on before distributing the assets.

The court said before consent was recorded and adopted, the siblings were engaged in negotiations.

The judge said from the evidence on record, it was clear that the law firm, which represented Mr Mwangi was involved in the whole process.

“There is no evidence to show that the applicant had withdrawn his instructions to the said law firm at the time the consent was recorded,” the judge said.

Justice Okwany said there is no proof that there was fraud or collusion to warrant the setting aside of the consent.

Mr Mwangi is battling with his siblings Isaac Gichia Mbugua, Joseph Mbai, Elizabeth Wanjiku, Catherine Wanjiru and Gladys Wangare over the multi-billion shilling property among them Ndunde Investments ltd.

They owned thousands of acres of prime land, including at least 2,475 acres in Laikipia county and over 165 acres in Kiambu. The family also owned an acre in Karen, another half-acre in Runda, 25 apartments in Kangemi and 260 acres in Kiambu Misarara Farm.

Mr Mwangi wanted the court to discharge the consent dated September 23, 2020, and all transactions arising from the agreement.

He argued that the parties in the fight for the estate had no legal mandate to deal with the estate of his mother, Ms Christine Mithiri Mbugua because no grant of letters of administration has been issued.

Ms Wanjiku opposed the application and stated that Ndunde Investment is a family company and that all respondents are children of Christine, who owned 25 percent shares in the company.

She said all siblings had knowledge of the proposed distribution of the assets of the company even before their mother passed on.

Ms Wanjiku added that it is Mwangi who gave instructions to the law firm to act on his behalf and other shareholders had acted on the terms of the consent and are in possession of their respective properties.

His argument was supported by Mr Gichia saying the law firm was properly on record.

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