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Sacked CS Aisha Jumwa clashes with landlord over 250 million house deal

Broadcast United News Desk
Sacked CS Aisha Jumwa clashes with landlord over 250 million house deal

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Former Gender Cabinet Secretary Aisha Jumwa is locked in a legal dispute with a homeowner over a house worth Ksh250 million that she purchased last year.

Bejav Furniture Limited has taken the matter to court, demanding that Jumwa pay the outstanding Ksh60 million, which was part of the agreed sale price.

The case, which initially sought to have the former Cabinet Secretary declared bankrupt, has now been submitted to mediation. The dispute dates back to October 27, 2022, four months after Jumwa was sworn in as Cabinet Secretary.

Before being sworn in, Jumwa declared a net worth of Ksh100 million during his vetting for the CS position.

According to court documents, the recently sacked CS approached Roselyn Wambui to buy a house worth Ksh250 million.

Wambui claimed that Jumwa negotiated the price to Ksh215 million. “I instructed my lawyers, Kinyanjui Kirimi and Company Advocates, to draft a sales agreement and send it to the defendant’s lawyers, Mohamoud, Gitau & Jillo LLP Advocates, which was completed on February 25, 2023.” Wambui issued a statement on the matter on July 26, 2024.

Sales Agreement

Wambui noted that Jumwa’s lawyer admitted receiving the sales agreement but told her the politician was seeking financing. It was later revealed that Jumwa was only able to get Ksh1.45 billion from Kenya Commercial Bank (KCB).

To provide the financing, Wambui added that Jumwa’s lawyers on March 1, 2023, presented an agreement satisfactory to the banks (KCB and Gulf), along with an addendum covering an agreed additional amount, which has yet to be financed.

According to Wambui, Jumwa was supposed to pay another Kshs70 million. She reportedly paid Kshs10 million and promised to pay the remaining Kshs60 million within 12 months.

“Both parties agreed to a 12-month payment period, which was clearly stipulated in the first draft of the agreement. There is no doubt that the price of the house was set at 215 million Kenyan shillings.” Wambui explained.

Wambui said she transferred the house to Jumwa and registered it as collateral for the loan with KCB. Despite Wambui’s repeated attempts to contact the former Malindi constituency MP to inquire about the outstanding balance, she said her lawyer contacted her on May 25, 2023, but received no response.

Wambui argued that Jumwa should clarify whether the balance was not payable. “Despite numerous requests and demands from the defendant to pay the remaining amount, the defendant completely disregarded, ignored and refused to pay the balance, causing substantial damages and breach of contract.” Wambui claimed.

Debt Recovery Cases

The owner instructed her lawyers to file a debt recovery suit against Jumwa, seeking to bankrupt the then minister. However, she noted that the bankruptcy case has been at a standstill as it awaits mediation or settlement.

The businesswoman is currently seeking a court order to force Jumwa to pay the outstanding amount plus 18.5% interest until it is paid in full.

In contrast, Jumwa asked for the case to be dismissed and for Wambui to bear the legal costs. The former CS objected, saying the court had no jurisdiction over the case. Her lawyer pointed out that the agreement between the parties stipulated that any dispute would be resolved through arbitration and the matter was referred to a mediator.

“This court has no jurisdiction to hear and determine the applicant’s application.” Read Jumwa’s response, submitted on 5 August 2024 by Professor Tom Ojienda and colleagues.

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