From left: Peter Munga, Swarup Mishra, Moses Kuria, Patrick Wainaina Jungle and Naomi Shaban.
Wealthy Kenyans in manufacturing, cargo handling, agribusiness, real estate, food processing, tea export, construction and other sectors are battling the auctioneer’s hammer after defaulting on loan repayments.
Equity Bank founder and macadamia nuts processor Peter Munga, tea exporter David Langat of DL Group, Mr Josiah Njoroge Njuguna of Nyoro Construction Company and others are locked in fights with financial institutions to save their assets.
Even politicians have not been spared. President William Ruto’s Senior Economic Adviser Moses Kuria and former MPs Naomi Shaban (Taveta), Charles Kilonzo (Yatta) and Swarup Mishra (Kesses) are also fighting to save their properties.
Former Taveta MP Naomi Shaban.
Businessman Munga – owner of Equatorial Nuts Ltd – and former Thika Town MP Patrick Jungle Wainaina, who owns Jungle Macs EPZ in Thika, are fighting auctioneers over loans linked to their companies. The two firms process macadamia, peanut and cashews for export.
Last week, Mr Munga failed to block African Banking Corporation (ABC) from selling his 75 million shares at Britam Kenya to recover Sh433.7 million borrowed by Equatorial Nut Processors. The shares are valued at Sh510 million.
The Murang’a-based company used the loan to fund a World Food Programme contract.
It is not the first time Mr Munga is facing auctioneers. In 2017, he narrowly avoided a forced sale of five prime properties in Kasarani, Nairobi, valued at Sh400 million, reaching a last-minute settlement with Jamii Bora Bank, now trading as Kingdom Bank. In 2023, three properties linked to Mr Munga were to be auctioned to recover unpaid dues.
Businessman Peter Munga.
Last week, the High Court rejected Mr Wainaina’s request to reverse the sale of one of his cashewnut machines over Sh1 billion owed to Guaranty Trust Bank.
He wanted the lender barred from selling, transferring or disposing of a pasteuriser owned by Jungle Cashews (EPZ) Ltd, pending the hearing and determination of the commercial dispute.
Justice Peter Mulwa found that the lender sold the machine for Sh70 million in June 2024 and that there was no action to be blocked by the court.
The dispute concerned some $4,311,795 (Sh557,060,384) and Sh447,142,376 received by the company and defaulted.
The judge said Mr Wainaina failed to establish a case against the bank.
In March, auctioneers announced a planned sale of his two industrial properties over an unspecified debt. The targets were two pieces of land in Makongeni, Thika town.
Both properties have godowns, sentry blocks and loading and unloading bays.
A company associated with Mr Zedekiah Bundotich – Buzeki Enterprises Ltd – faced multiple suits at the Commercial Court over debts three years ago. One case involved a Sh2.7 billion owed to NCBA bank.
Bundotich Zedekiah Kiprop alias Buzeki.
The disclosure was made by the bank in 2020 as it sought to block Landmark Port Conveyors Ltd from auctioning Buzeki’s 53 trucks and trailers.
The bank said the lorries and trailers were part of the 289 trucks and 141 trailers bought by Buzeki using the Sh2.7 billion loan.
Buzeki was involved in a Sh35.8 million debt – money owed to Express Shipping and Logistics EA – in 2021. Buzeki also fought the auction of its assets over a Sh118 million land transaction with Landmark Port Conveyors.
Sh860 million
Auctioneers have been knocking on the door of Mr Njuguna over Sh860 million owed to KCB Bank. The Nyoro Construction owner recently lost his bid to stop the auction of the company assets by the lender.
According to the papers filed in court, the businessman defaulted on the loan due to failure by the government to pay the company for services rendered.
Two weeks ago, Justice Mulwa declined to block the auction, saying Nyoro Construction should not evade its financial obligations and that the bank must have its money.
“Nyoro Construction acknowledges its indebtedness and has defaulted in repayment. The bank, as the chargee, is entitled to realise the securities. A defaulting charger cannot seek equitable relief to prevent a lawful sale unless the full debt is settled. Equity does not aid defaulters,” Justice Mulwa said.
The targeted assets include pieces of land, houses in South B, Nairobi, go-downs and a commercial property on Mombasa Road, Nairobi.
Among key government projects undertaken by Nyoro Construction Company is the building of Processional Road in Nairobi and the repair and rehabilitation of roads in Nakuru city. That was during the Mwai Kibaki presidency.
Other projects are Mihuti-Kayu-Wanjerere-Rwathia and Githiga-Kibutha-Kanyenyaini roads in Murang’a County, the construction of Likoni Road Missing Link and Bridge and the repair and recarpeting of Nakuru Njoro Mau-Summit roads. All these projects were valued at Sh6.7 billion.
During the administration of President Uhuru Kenyatta, Nyoro Construction Company was awarded several contracts, including the construction of Murang’a-Gitugi and Njumbi-Mioro roads, periodic maintenance of Junction A104 Nakuru-Nyahururu road, the rehabilitation of selected roads in Gikomba and the rehabilitation of Mumbuni-Kathiani road. These projects were valued at Sh3.7 billion.
The company was contracted to build the Solai Menengai Water and Sewerage treatment plant at Kabarak University, trenching and laying the fibre optic backbone cable on the Mombasa-Nairobi road as well as improving the Kisumu Airport runway and apron.
Mr Kuria, who was the Trade and Investment Cabinet Secretary before being made President Ruto’s economic advisor, leads the pack of politicians battling auctioneers.
He has been fighting Equity Bank over the sale of property in Kiambu County, specifically a piece of land in Kiambaa, over a Sh54 million debt.
The initial amount was Sh50 million, borrowed in 2018. Mr Kuria was the MP for Gatundu South at the time.
Court papers indicate that on January 25, 2025, Mr Kuria agreed to settle the arrears by way of monthly payments of Sh850,000 but did not do so.
Mr Moses Kuria.
He then paid Sh733,000 on March 18, 2025, an amount that was less than what he had promised.
The loan was secured by his two other properties registered as Juja/Kiaura Block 12 (Nawell/Njemuwa) in April 2018.
Mr Kuria did not deny the debt, but explained that he could not service it because he had experienced difficulties in developing the properties during the Covid-19 pandemic.
“The period saw a rise in the prices of building materials,” he said.
Mr Kuria told the court that he fell sick during that period and had an accident. He said he was admitted to hospital and that his injured leg was being rehabilitated.
Medical records
The President’s economic adviser even furnished the court with medical records in an attempt to obtain orders to stop the auction.
“While I empathise with Mr Kuria for the health challenges and being admitted to hospital, these are not legal grounds for the grant of the injunctive orders,” said Justice Aleem Visram on April 7, 2025 while allowing the bank to proceed with the auction.
“This is especially because the bank initiated the recovery in accordance with the law. The debt is expressly admitted, remains due and has been outstanding for a prolonged period.”
The auction was, however, put on hold when Mr Kuria’s spouse, Joyce Njambi, went to court challenging the forced sale on account of having a stake in the targeted properties. The case is pending determination.
Former MPs Shaban and Kilonzo are also at loggerheads with auctioneers over the sale of their assets in Athi River and Karen estate, respectively.
Mr Kilonzo’s property was to be sold in December. It is within Northwood Villas, Miotoni Lane in Karen.
Auctioneers target Ms Shaban’s four-storey building near Daystar University in Machakos County. The former Taveta MP is the chairperson of the Tobacco Control Board.
Mr Mishra, a former MP for Kesses, is fighting the Commercial International Bank Kenya Ltd over a Sh53 million loan.
Auctioneers had lined up his properties for sale, including parcels of land, residential home in Elgon View estate, Eldoret, and Medieval Hospital to recover the amount.
Billionaire businessman Langat, the founder and owner of DL Group, is battling Stanbic Bank over planned auction of two of his assets for a Sh2 billion loan he took years ago.
Court papers indicate that the bank loaned DL Koisagat Tea Estate Ltd $16,129,497 (Sh2 billion at current exchange rate) and was to attract an interest of 9.25 per cent per annum.
The loan was to be repaid in 120 months.
Mr Langat took the loan to restructure and consolidate the company’s other loans with the lender, term out hardcore overdrafts, take over loans owed by Firefox Kenya Ltd to the bank and capitalise arrears of $1,303,922 or Sh168.7 million.
However, the company faced numerous challenges in its operations, including a bleak economic climate due to fluctuations in the dollar rate, overproduction of tea and government interference with tea pricing, Mr Langat told the court.
The High Court has stopped the bank from dealing with his properties – L.R. No. 10105 (I.R NO. 18136) in Nandi County and Title Number Mombasa/Block 1/355 in Mombasa County – including the plant and machines, pending the hearing and determination of the main suit.
Explaining reasons for the default, Mr Langat said the business was also affected by adverse effects of the coronavirus pandemic and the Russia-Ukraine war.
He told the High Court that Russia is a key importer of Kenyan tea.
Mr Langat also blamed the conflicts in Sudan and in the Middle East, which he said have obstructed shipping routes.
