Two directors of a Nairobi-based company are facing criminal charges over a Sh25 million payment made in a disputed land transaction in Karen, where a buyer is yet to secure ownership of a property purchased for Sh45 million.
Obadiah Kamau Kihara and Hannah Wanjiku Mbatia, directors of Waki Clearing & Forwarding Agents Ltd, were arraigned at the Milimani Law Courts on November 9, 2026, and charged with obtaining money by false pretences.
The two were arrested on November 6 following investigations by detectives from the Directorate of Criminal Investigations (DCI) Land Fraud Investigation Unit (LFIU).The matter revolves around a sale agreement entered into on March 30, 2026, when a complainant agreed to purchase a parcel of land measuring approximately 0.2042 hectares along Comboni Crescent in Karen, Nairobi.
The property had an agreed purchase price of Sh45 million, with the buyer required to pay Sh25 million upfront as a deposit before the transfer process could begin.
According to the findings of the investigation, the complainant made the payment as agreed, expecting the transaction to proceed and the property to be transferred in line with the sale agreement.
However, the transfer did not take place, leaving the buyer without ownership of the property despite having paid a substantial amount towards the purchase.
The stalled transaction eventually prompted the complainant to report the matter to the police, leading to investigations into the circumstances surrounding the payment and the failure to complete the transfer.
DCI detectives from the Land Fraud Investigation Unit took up the matter and began examining the transaction, including the payment made to the company and the status of the property.
Investigations established that the accused directors received the Sh25 million deposit paid by the complainant.
Further inquiries revealed that issues had emerged concerning the boundaries of the property, prompting the vendor to pursue an amalgamation and fresh subdivision of neighbouring parcels.
The proposed changes affected the original arrangement under which the complainant had agreed to purchase the land.
Despite the developments, the property remained under the ownership of the company, leaving the buyer’s acquisition unresolved.
The complainant had entered into the agreement based on the existing title and the measurements indicated in the original transaction.
However, the proposed amalgamation and subdivision significantly changed the arrangement, leaving the buyer without a definite assurance of ownership despite the Sh25 million payment.
The failure to complete the transfer formed part of the issues examined by detectives during their investigations into the transaction.
After concluding their inquiries, the DCI forwarded the case file to the Office of the Director of Public Prosecutions (ODPP) for review and further directions.
The ODPP examined the evidence and approved charges against the two directors for obtaining money by false pretences, contrary to Section 313 of the Penal Code.
Kihara and Mbatia appeared before the Milimani Law Courts, where they denied the charges.
The court granted them bond terms of Sh100,000 each or an alternative cash bail of Sh50,000 as they await the next court proceedings.
The matter is scheduled for mention on November 24, 2026, when the court is expected to give further directions on the case.
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