I&M Bank In A Scandal Over A Three-Acre Land In Embakasi
I&M Bank into a 400million land dispute.
I&M Bank has been sucked into a battle over a three-acre piece of land in Embakasi, Nairobi valued at more than Sh400 million. The land, whose ownership is the subject of a court case, was used as security for a Sh1 million loan I&M issued to GA Insurance in 2014.
GA Insurance has accused Dikus Transporters Limited and lawyer Stephen Juma Ndeda of using a fraudulent title deed to lay claim to the land that the underwriter says it bought for Sh92 million in 2014.
The insurance firm now wants the Milimani High Court to bar Dikus Transporters and Mr Ndeda from laying claim to the land. Neither Dikus Transporters nor Mr Ndeda has filed a response in the suit.
GA Insurance says it bought the land from Economic Industries Limited, which purchased it from Eldo Dwellers Limited for Sh9 million in 2005. Eldo Dwellers bought the property from the original owners, Sadru Musa Ramji and Yasmin Sadru Musa Ramji in 2004, the court papers say.
“On March 19, 2021 Dikus Transporters put excavators onto the suit property and begun excavating the land and is preparing the land for development with what GA Insurance regards as a fraudulent title.
On the same day Dikus Transporters also loaded GA Insurance’s building materials worth Sh675,000 onto trucks and drove away to an unknown place and which incident was reported at Embakasi police station, “GA Insurance says.
The insurance firm has attached as evidence, a search from the Ministry of Lands which indicates that the underwriter is the registered owner. The underwriter had planned to fence the prime property on March 12, but found Dikus Transporters director Diba Boru on site with a group of young men.
The group allegedly attacked workers who were to put up the fence, and destroyed building materials worth Sh675,000. Dikus officials and Mr Ndeda then produced title deeds claiming that they own the Sh400 million property.
The title held by Dikus indicates that the firm bought the land from Mr Ndeda in 2020, and that the lawyer acquired the property from Sadru Musa Ramji and Yasmin Sadru Musa Ramji.
GA Insurance holds that Dikus Transporters intends to sell the land to unsuspecting buyers, and wants the court to stop the move. “It has come to GA Insurance’s attention that the conmen who are orchestrating a fraud scheme by purporting to be the owners of the aforesaid parcel of land are seeking unsuspecting buyers to purchase the land and have been visiting the land accompanied by unsuspecting buyers,” GA Insurance adds.